Amplitech Group Inc. (NASDAQ:AMPG) experienced an 11.6% decline in its share price on Monday after announcing a registered direct offering of approximately $9.04 million. The manufacturer of signal processing components disclosed that it has entered into securities purchase agreements with institutional investors to sell a total of 2,230,000 units at a price of $4.055 per unit.
Each unit offered comprises one common share, one Series A right enabling the purchase of a share at $5.00, and one Series B right enabling the purchase of a share at $6.00. The company said the transaction is expected to close around January 27, 2026, subject to customary closing conditions.
Moody Capital Solutions, Inc. is acting as the sole placement agent for the offering. The filing characterizes the transaction as a registered direct placement with institutional investors, and the company identified the structure and pricing of the units in its statement accompanying the announcement.
Amplitech Group designs and manufactures signal processing components used in global communications infrastructure, with applications in 5G/6G Open RAN networks, satellite systems, and quantum computing platforms. The company operates through five named divisions: AmpliTech Inc., Specialty Microwave, Spectrum Semiconductors Materials, AmpliTech Group Microwave Design Center, and AmpliTech Group True G Speed Services.
The market reaction to the financing announcement was immediate, with the stock tumbling 11.6% on the day the offering was disclosed. The company has provided the timeline for closing and the composition of the securities being sold, and identified the placement agent responsible for bringing the transaction to market.
While the announcement lays out the mechanics of the offering and the corporate structure that supports Amplitech Group's operations, the company noted that the closing remains subject to customary closing conditions. Investors and market participants are left to evaluate the financing in the context of the company's divisions and end markets.
Summary
- Amplitech announced a registered direct offering of roughly $9.04 million, prompting an 11.6% drop in its shares on Monday.
- The company agreed to sell 2,230,000 units at $4.055 each; each unit includes a common share and two rights exercisable at $5.00 and $6.00.
- The offering is expected to close around January 27, 2026, subject to customary closing conditions, with Moody Capital Solutions, Inc. as sole placement agent.