$2.85 offering price for net proceeds of $9M, not $15M....OUCH!
WILMINGTON, Del., Oct. 11, 2013 /PRNewswire/ -- Acorn Energy, Inc. (NASDAQ: ACFN) today announced the pricing of a $10,000,000 underwritten public offering of 3,508,771 shares of its common stock, at a price of $2.85 per share. The Company has also granted to the underwriters a 45-day option to acquire an additional 526,316 shares to cover overallotments, if any, in connection with the offering. After the underwriting discount and estimated offering expenses payable by the Company, the Company expects to receive net proceeds of approximately $9,018,000 assuming no exercise of the overallotment option. The offering is expected to close on October 17, 2013, subject to customary closing conditions. Maxim Group LLC is acting as the Sole Book Running Manager and lead managing underwriter for the offering. Chardan Capital Markets and National Securities Corporation, a wholly owned subsidiary of National Holdings, Inc. (OTCBB: NHLD) are acting as Co-Managers for the offering.
bill, respectfully, that makes no sense. The company will now have to go back to the well sometime in the first quarter of 2014. The cash burn is dramatically outpacing revenue growth....this all without a penny of profit, but bigtime losses.