Novusterra, a pre-revenue developer of graphene products for various uses, filed on Thursday with the SEC to raise up to $20 million in an initial public offering.
The Miami, FL-based company plans to raise $20 million by offering 4.4 million units at a price range of $4 to $5. Each unit consists of one share of common stock and one warrant, exercisable at 125% of the IPO price. At the midpoint of the proposed range, Novusterra would command a market value of $67 million.
Because the company is offering units with warrants attached, Novusterra will be excluded from Renaissance Capital's 2022 IPO stats.
Novusterra began with the objective to build a rare earth elements (REE) processing facility to process REE for commercial use, but in March 2021 changed its objective to developing graphene. The company has not generated any revenues to date and does not anticipate receiving any revenue from graphene sales for at least 24 months.
Novusterra was founded in 2020 and plans to list on the Nasdaq under the symbol NOVS. The company filed confidentially on June 2, 2021. EF Hutton is the sole bookrunner on the deal. No pricing terms were disclosed.
