Dragonfly Energy Sets Stage for $55.4 Million Stock Offering
Dragonfly Energy's New Stock Offering Announcement
Dragonfly Energy Holdings Corp. (NASDAQ: DFLI), known for its advancements in energy storage and battery technology, has unveiled a public offering of common stock aimed at raising $55.4 million. This strategic move comes as the company continues to expand its influence in the lithium battery space, which is crucial for modern energy solutions.
Details of the Offering
In this equity raise, Dragonfly Energy plans to issue 36,000,000 shares of common stock at $1.35 each. Additionally, the company offers pre-funded warrants for 5,000,000 shares at $1.3499 each. This pricing structure allows investors an enticing opportunity while providing the company with substantial capital. The offering also includes an option for underwriters to purchase up to 6,150,000 additional shares, thereby enhancing the potential funding capacity.
Benefits of the Capital Raise
The funds raised will primarily support working capital as well as general corporate initiatives. A significant focus will be on using approximately $45 million of the proceeds to address outstanding debts under existing loan agreements. This financial maneuver will aid in strengthening the company's balance sheet and facilitating further growth.
Investment in Future Innovations
Besides debt restructuring, Dragonfly Energy is committed to investing in innovative technologies. The company aims to accelerate advancements towards the development of next-generation battery technologies and improve its unique dry electrode manufacturing process. These investments are critical to enhancing battery performance across various applications, from energy storage systems to electric vehicles.
Role of Underwriters
Canaccord Genuity leads the offering as the sole bookrunner while Roth Capital Partners serves as a co-manager. The involvement of these financial partners suggests confidence in Dragonfly Energy's growth prospects, aligning their expertise with the company's vision for expansion.
About Dragonfly Energy
Founded as a comprehensive lithium battery technology firm, Dragonfly Energy specializes in manufacturing high-quality battery cells, as well as assembling battery packs and integrating complete systems. Through its renowned Battle Born Batteries brand, the company has solidified its reputation within the lithium battery market. Hundreds of thousands of reliable battery packs have been successfully deployed across diverse sectors, highlighting the company's proven track record and reliability.
Commitment to Clean Energy
Dragonfly Energy is not just about profit; the organization is deeply committed to clean energy advancements. Their proprietary, nonflammable, all-solid-state battery cells embody the company’s mission to contribute to a sustainable energy future. By focusing on cutting-edge technology, Dragonfly Energy seeks to redefine energy storage with safety and efficiency at the forefront.
Frequently Asked Questions
What is the total amount Dragonfly Energy aims to raise?
Dragonfly Energy is looking to raise approximately $55.4 million through its public stock offering.
What will the funds be used for?
The proceeds from the offering will primarily be utilized for working capital, paying down debt, and investing in innovative battery technologies and growth initiatives.
Who is managing the offering?
Canaccord Genuity is the sole bookrunner for the offering, with Roth Capital Partners acting as co-manager.
What distinguishes Dragonfly Energy in the battery industry?
Dragonfly Energy is recognized for its proprietary dry electrode manufacturing process, enabling the production of high-performance batteries for various applications.
Where can I find more information about Dragonfly Energy?
More information about the company and its offerings can be found on their investor relations page, which outlines their commitment to clean energy and technological advancements.
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