Nuburu stock soars after modified Tekne acquisition terms

Published 03/09/2025, 14:14
Nuburu stock soars after modified Tekne acquisition terms

Investing.com -- Nuburu Inc (NASDAQ:NUBR) stock surged 31% in Wednesday’s premarket following the company’s announcement of modified terms for its planned acquisition of Italian company Tekne S.p.A.

The blue laser manufacturer revealed in a regulatory filing that it has executed a binding commitment letter to restructure its previously announced acquisition of a 70% interest in Tekne. The revised plan comes in response to feedback from the Italian government’s "Golden Power" review of the transaction.

Under the new terms, Nuburu will acquire the stake through a two-stage process via its newly formed subsidiary, Nuburu Defense, LLC. The company will acquire a 3% equity interest in Tekne in September 2025, followed by the remaining 67% by the end of 2025. Based on a third-party valuation, Tekne’s enterprise value is established at $60 million, with Nuburu’s 70% interest valued at approximately $42 million.

To address concerns raised in the regulatory review, Nuburu has agreed to assist with financing up to EUR 40 million for Tekne’s working capital needs over the next 12 months. This support will come through a EUR 10.5 million cash financing and a EUR 30 million inventory monetization program.

Additionally, the companies plan to form a U.S.-based joint venture, owned 80% by Nuburu and 20% by Tekne. This venture is expected to develop new defense sector products for the Americas market and generate revenue of up to approximately $7.5 million while the regulatory review is being completed.

The transaction remains subject to negotiation and execution of definitive agreements and regulatory approvals. Completion of the second stage acquisition phase is anticipated to require approval from Nuburu’s stockholders.

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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