What happened
MicroVision (MVIS 8.61%) closed the work week in style, with its stock price rising by over 17% on Friday. That was a far better performance than the S&P 500 index's 1.2% increase. Investors reacted very strongly and positively to the company's latest news about financing.
So what
After market hours on Thursday, MicroVision divulged that it completed an at-the-market (ATM) offering of its common stock. That came less than two weeks after the company said it has reached an ATM issuance sales agreement with brokerage Craig-Hallum Capital Group to sell up to $45 million worth of that stock.
MicroVision did not disclose exactly how much it earned in the ATM offering, but did say that as a result, it now holds roughly $95 million in cash and equivalents. At the end of March, the company held a bit less than $26.5 million in cash alone.
The monies raised in the issue are to be utilized for general corporate purposes, which might include the funding of working capital and capital expenditures. MicroVision did not get more specific.
Now what
While it was short on details, MicroVision didn't hesitate to express delight at the results of the ATM. It quoted CEO Sumit Sharma as saying that the issue "strengthened our balance sheet and fortifies our position for accomplishing our 2023 objectives."
The company has a lot of investors rooting for it. That's because it is a developer of assisted-driving solutions that power advanced automobile technology. Given the competitiveness of the sector, and its great hunger for developing the next big thing, many people are placing bets on MicroVision to succeed.
