PicoCELA sets price for public offering of shares

Published 23/05/2025, 13:14
PicoCELA sets price for public offering of shares

TOKYO - PicoCELA Inc., a Tokyo-based enterprise wireless mesh solutions provider, has priced a public offering of 6.1 million American Depositary Shares (ADSs) at $0.30 each, aiming to raise $1.83 million before costs. The NASDAQ-listed company (Nasdaq: PLCA), currently trading at $0.56 with a market capitalization of $15.24 million, anticipates the offering to conclude around May 27, 2025, pending standard closing conditions. According to InvestingPro analysis, the stock appears overvalued at current levels, despite showing a significant 29.5% return over the past week.

The company plans to allocate about 70% of the net proceeds for working capital and general corporate purposes, with the remaining 30% earmarked for product development and research. This capital raise comes as PicoCELA reported revenue growth of 40.2% in the last twelve months, though InvestingPro data shows the company remains unprofitable with an EBITDA of -$2.97 million. Revere Securities LLC and Dominari Securities LLC are facilitating the offering as lead and co-placement agents, respectively.

Legal counsel for the transaction includes Hunter Taubman Fischer & Li LLC for PicoCELA and Winston & Strawn LLP for the placement agents. Additionally, Spirit Advisors LLC is providing financial advisory services to PicoCELA.

The offering follows the effectiveness of a registration statement filed with the U.S. Securities and Exchange Commission (SEC), which was declared effective on May 22, 2025. The sale of securities is being conducted through a prospectus, part of the registration statement, obtainable from Revere Securities LLC or via the SEC’s website.

PicoCELA specializes in the production and service of mesh Wi-Fi access point devices, leveraging its proprietary PicoCELA Backhaul Engine software to simplify network installation. The company also offers PicoManager, a cloud-based portal for network monitoring and edge-computing software integration. Financial metrics from InvestingPro indicate the company maintains a healthy current ratio of 2.18 and operates with a moderate debt level, while achieving a gross profit margin of 54%. Subscribers can access 7 additional ProTips and comprehensive financial analysis on the platform.

This news is based on a press release statement and does not constitute an offer to sell or a solicitation of an offer to buy any securities. Sales will not be made in jurisdictions where such transactions would be unauthorized prior to registration or qualification under the securities laws of any such state or jurisdiction.

In other recent news, PicoCELA Inc. has been notified by the Nasdaq Stock Market of its noncompliance with the minimum bid price requirement for continued listing. The notification came after PicoCELA’s American Depositary Shares closed below the required $1.00 per share for 30 consecutive business days. Despite this notice, the company’s listing on the Nasdaq Capital Market remains unaffected for now. PicoCELA has until October 20, 2025, to rectify the situation by achieving a closing bid price of at least $1.00 for a minimum of 10 consecutive business days. The company is considering strategies such as a reverse stock split to regain compliance. This development does not affect the company’s operations, and PicoCELA plans to closely monitor its ADSs’ closing bid price. The company has emphasized that its forward-looking statements are subject to various risks and uncertainties.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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