Ascent Solar to pocket USD 8m from share offering

Sep 3, 2014 - US photovoltaic (PV) modules maker Ascent Solar Technologies Inc (NASDAQ:ASTI) said yesterday it plans to raise about USD 8 million (EUR 6.1m) via a common stock offering that will lift the stake of its largest shareholder to some 26%.

The Colorado-based company has sealed a stock purchase agreement with its biggest shareholder TFG Radiant Investment Group and series A investor Seng Wei Seow with regard to the sale. Under the first round of the transaction, which has already been completed, Ascent Solar sold 845,309 common shares to Seow and just as much to TFG Radiant at USD 2.366 apiece. The offering price represents a 30% premium to Ascent Solar’s closing on August 28.

The first tranche of the placement brought Ascent Solar USD 4 million net and lifted TFG Radiant’s shareholding to about 18.3%, the firm said.

In the second round, pending shareholder approval, the PV modules manufacturer plans to offer 1.43 million common shares to TFG Radiant at USD 2.80 each, seeking to raise an additional USD 4 million. The specific issue price is a premium of about 54% to Ascent's closing on August 28.

The last part of the deal is seen to be wrapped up shortly after a shareholder meeting scheduled for October. It will see First Radiant lift its stake in Ascent Solar to 26.2%.

(USD 1.0 = EUR 0.762)

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