Ascent Solar Announces New Common Stock Investment Led by TFG Radiant Investment Group

published: 2014-09-03 15:00 | editor: | category: News

Ascent Solar Technologies has officially entered into a Stock Purchase Agreement (SPA) with existing stockholders TFG Radiant Investment Group (TFG Radiant) and Series A investor, Seng Wei Seow (Seow) for approximately US$8.0 million of common stock.

In the first tranche of the transaction (which has closed), Ascent Solar 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 Ascent Solar 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, “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.”

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