SmartKem, a UK-headquartered semiconductor ink manufacturer backed by chemicals producer BAS, received $24.6m in private placement financing yesterday through a reverse merger with US-based special-purpose acquisition company Parasol Investments Corporation.
Brokerage GP Nurmenkari served as the exclusive placement agent for the transaction, which was sponsored by investment firm Montrose Capital Partners.
Founded in 2008, SmartKem supplies organic semiconductor materials based on its TruFlex technology, which involves glass or plastic-derived thin-film transistors used to manufacture flexible OLED display screens.
The company had raised $4m in series A funding from BASF Venture Capital, the corporate venturing arm of BASF, as well as Entrepreneurs Fund, Finance Wales and Octopus Investments, in 2014.
Ian Jenks, a SmartKem director who has assumed the CEO role at the merged company, said: “The success of this financing surpassed our expectations, and we believe demonstrates investor confidence in SmartKem, our technology, product, current customer traction and the market opportunity.
“This financing will allow us to continue to scale production of our TruFlex inks, our electrical design automation tools and expand our foundry services.”
