Renaissance Capital logo

Projection screen maker Strong Global Entertainment cuts share offering by 38% ahead of $5 million IPO

May 11, 2023

Strong Global Entertainment, a maker of premium projection screens being spun out of FG Group Holdings, lowered the proposed deal size for its upcoming IPO on Thursday.

The Charlotte, NC-based company now plans to raise $5 million by offering 1 million shares at $5. The company has revised the terms twice before, most recently planning to offer 1.6 million shares at the same price. At the revised terms, Strong Global Entertainment will raise 38% less in proceeds than previously anticipated.

The company is expected to have a market cap of less than $50 million at pricing. As a result, Strong Global Entertainment will be excluded from Renaissance Capital's 2023 IPO stats.

Strong Global Entertainment manufactures and distributes premium large format projection screens, provides comprehensive managed services, technical support, and related products and services primarily to cinema exhibitors, theme parks, educational institutions, and similar venues. The company has contractual relationships to supply projection screens and coatings to IMAX, AMC, Cinemark, and other cinema operators worldwide. Other products include projectors, servers, audio systems, and other third-party products including lenses and lamps to customers in North and South America.

Strong Global Entertainment was founded in 1932 and booked $40 million in sales for the 12 months ended December 31, 2022. It plans to list on the NYSE American under the symbol SGE. ThinkEquity is the sole bookrunner on the deal. It is expected to price during the week of May 15, 2023.