Ascent Solar Announces New Common Stock Investment of $8.0 Million Led by Largest Shareholder, TFG Radiant Investment Group
THORNTON, Colo.--(BUSINESS WIRE)--Ascent Solar Technologies, Inc. (NASDAQ:ASTI), a developer and manufacturer of state-of-the-art, flexible thin-film photovoltaic modules integrated into the company’s EnerPlex™ series of consumer products, announced today that it entered into a Stock Purchase Agreement (SPA) on August 29, 2014 with existing stockholders TFG Radiant Investment Group (“TFG Radiant”) and Series A investor, Seng Wei Seow (“Seow”) for approximately $8.0 million of common stock.
In the first tranche of the transaction (which has closed), the Company issued 845,309 common shares to Seow and 845,309 shares to TFG Radiant at a fixed per share price of $2.366, representing a 30% premium to the closing price of $1.82 per share on August 28, 2014. The closure results in net proceeds of $4.0 million to the Company.
In the second tranche of the transaction, the Company will issue 1,425,000 common shares to TFG Radiant at a fixed per share price of $2.80, approximately 54% premium to the closing price on August 28, 2014 and will result in additional net proceeds of approximately $4.0 million to the Company. The Company expects to hold a special stockholder meeting to approve the issuance of the second tranche shares in October. If stockholder approval is obtained, the second tranche will close shortly after the special stockholder meeting.
TFG Radiant’s ownership of the Company has increased to approximately 18.3% of the outstanding common stock subsequent to the closing of the first tranche and would further increase to approximately 26.2% successive to the closing of the second tranche.
Dr. Amit Kumar, Chairman of Ascent Solar, stated, “We are pleased that our largest shareholder continues to demonstrate great confidence in us as our transition to consumer value added products has yielded higher revenues. Our business model and strategy has undergone tremendous change which has translated into growing interest in our new products resulting in strong revenue growth over last year. While the repositioning of the Company is challenging, we now feel that we have completed much of the ground work necessary for us to create value going forward.”
Winston Xu, Chairman of TFG Radiant, said, “We feel more upbeat now than ever before with regards to Ascent’s future success. Ascent has demonstrated growing sales momentum quarter after quarter. We feel strongly that the Company is at an inflection point of its development, and we believe the foundation has been built to enable increasing growth in sales. As the largest shareholder of Ascent Solar, TFG Radiant strongly believes in Ascent’s business plan, and is firmly committed to the Company’s strategy for growth. Ascent’s game changing technology is truly unique in the industry and the broad array of products launched and soon to be launched will underscore this point.”
About Ascent Solar Technologies, Inc.:
Ascent Solar Technologies, Inc. is a developer of thin-film photovoltaic modules with substrate materials that are more flexible, versatile and rugged than traditional solar panels. Ascent Solar modules can be directly integrated into consumer products and off-grid applications, as well as aerospace and building integrated applications. Ascent Solar is headquartered in Thornton, Colorado. For more information, go to www.goenerplex.com or www.ascentsolar.com.
Statements in this press release that are not statements of historical or current fact constitute “forward-looking statements.” Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the Company’s actual results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as “believe,” “expect,” “intend,” “anticipate,” “plan,” and other words and terms of similar meaning to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company’s filings with the SEC. The Company disclaims any intention or obligation to update or revise any financial or other projections or other forward-looking statements, whether because of new information, future events or otherwise.