Agrify Corp., an ancillary marijuana business that produces hardware and software for indoor cannabis cultivators, priced an upcoming initial public share offering at $10 per share, or $54 million.
Agrify shares will trade as AGFY on the Nasdaq exchange. Trading is expected to begin Jan. 28.
The $54 million figure does not include underwriting discounts, commissions and other expenses, the Burlington, Massachusetts-based company said in a news release.
Agrify had an order backlog of $59.3 million at the end of 2020, according to a prospectus filing.
“We expect to recognize revenue of approximately $40 million in 2021 and the rest gradually thereafter,” the prospectus notes.
According to the filing, Agrify will spend the proceeds from the offering on:
- Research and development.
- Sales and marketing.
- New personnel.
- Capital expenditures.
- An equipment-financing plan for customers.
- Working capital and general corporate purposes.