Inspire Technology Inc., a specialist in cannabis and tobacco vape products, filed plans Tuesday to raise about $42 million in an upcoming initial public offering.
Inspire Technology Inc. plans to offer 6 million shares at a price range of $6 to $8 a share for trading on the Nasdaq under the symbol ISPR, according to a filing. With 56 million shares outstanding, the company’s market cap would stand at $392 million.
U.S. Tiger Securities Inc., TFI Securities and SPDB International are underwriting the IPO, which comes during a slowdown in new stock offerings.
Inspire Technology reported $68.1 million in revenue in the year ended June 30, 2022, compared to $61.27 million in revenue in the year-ago period.
It also reported a net loss of $2.95 million and revenue of $58.8 million in the six months ended Dec. 31, compared to net income of $1.28 million and revenue of $47.2 million in the year-ago period.
Inspire Tech has two operating units — Aspire North America LLC, a California limited liability company, and Aspire Science and Technology Ltd., a Hong Kong corporation.
The company sells tobacco products worldwide, except for China and Russia, under the Aspire brand name.
It currently sells cannabis vaping hardware in the United States and no tobacco products. It recently launched marketing activities in Canada and Europe, primarily in the European Union for cannabis vapes.
Vaping is a term to describe tobacco and cannabis consumption through heat, not burning.
Inspire Tech manufactures its products in China by Shenzhen Yi Jia, which is 95% owned by the company’s CEO and controlling stockholder Tuanfang Liu.
Inspire Tech said it’s planning to develop manufacturing operations in Vietnam and in California. Initially, its manufacturing will mostly be assembling purchased components starting in the middle of 2023.
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