LISHUI, China, March 7, 2016 /PRNewswire/ -- Tantech Holdings Ltd. (NASDAQ: TANH) ("Tantech" or the "Company"), a leading manufacturer of bamboo-based charcoal products, announced today that it has completed a $7,957,100 private placement of its common stock (the "Private Placement") to various purchasers (each, a "Purchaser" and collectively the "Purchasers").
Pursuant to a securities purchase agreement (the "Securities Purchase Agreement") executed on March 1, 2016, the Company issued and sold 1,693,000 shares of its common stock (the "Shares") to the Purchasers at $4.70 per share for an aggregate consideration of $7,957,100 (approximately RMB 52.1 million). The offering price represents an approximately 11% discount over the closing price of $5.30 on February 29, 2016. The Private Placement closed on March 1, 2016. Upon completion of the Private Placement, the Company had 23,293,000 shares of common stock outstanding.
The Shares are being sold in transactions exempt from registration under the Securities Act of 1933, as amended (the "Securities Act"), in reliance on Regulation S thereunder. Each of the Purchaser understands that the Shares have not been registered under the Securities Act. Such Purchaser will not sell or otherwise dispose of the Shares without registration under the Securities Act, and under applicable state securities or "Blue Sky" laws, or pursuant to an exemption therefrom. A copy of the Securities Purchase Agreement was filed with the Security and Exchange Commission as Exhibits 10.1 to a Form 6-K on March 4, 2016
About Tantech Holdings Ltd.
Established in 2001 and headquartered in Lishui City, Zhejiang Province, China, Tantech Holdings Ltd., together with its subsidiaries, develops and manufactures bamboo-based charcoal products in China and internationally. It operates through three segments: Consumer Products, Trading, and Biofuel Energy. The company produces pressed and formed charcoal briquettes for use in grills, incense burners, and other applications under the Algold brand. It also offers Charcoal Doctor branded products, such as air purifiers and humidifiers, automotive accessories for air purification, underfloor humidity control, pillows and mattresses, wardrobe deodorizers, mouse pads and wrist mats, refrigerator deodorants, charcoal toilet cleaner disks, liquid charcoal cleaners, shoe insoles, and decorative charcoal gifts. In addition, the Company provides liquid byproduct consists of bamboo vinegar that is used in disinfectants, detergents, lotions, specialized soaps, toilet cleaners, and fertilizers, as well as in various agricultural applications. Further, it engages in providing bamboo carbon for use in EDLCs; the production of electric double-layer capacitor carbon products; and the industrial purchase and sale of rubber. The Company provides its products for industrial energy applications, as well as household cooking, heating, purification, agricultural, and cleaning uses. The company also exports its bamboo vinegar, bamboo charcoal purification, and EDLC carbon products. For more information about Tantech Holdings Ltd., please visit: http://www.tantech.cn/en/index.asp.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulations, and other risks contained in reports filed by the company with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the Company, are expressly qualified by this cautionary statement and any other cautionary statements which may accompany the forward-looking statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
For more information please contact:
Tantech Holdings Ltd.
Ms. Ye Ren
Weitian Investor Relations
Ms. Tina Xiao
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/tantech-holdings-ltd-completes-8-million-private-placement-300231566.html
SOURCE Tantech Holdings Ltd.