SpringBig Holdings, Inc. (SBIG), a company that provides software-as-a-service (SaaS) marketing solutions, consumer mobile app experiences, and omnichannel loyalty programs to the cannabis industry, recently announced that it has completed the closing of a public equity offering that raised $4 million in gross cash proceeds. The offering was managed by Roth Capital Partners and achieved approximately $3 million in net proceeds after accounting for fees and other expenses.
Approximately $1 million of SpringBig’s existing senior secured convertible note was also converted into shares in the offering, strengthening the company’s balance sheet and bolstering its capital position to sustain future growth. Jeffrey Harris, CEO and chairman of the company, hailed the completion of the offering as a positive step toward achieving “positive operating cash flow” for the company.
Looking ahead, SpringBig expects Q2 2023 financial projections to align with guidance, with revenue ranging between $7.3 million to $7.6 million, which represents year-on-year growth of 15% at the mid-point. The company also anticipates that adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for Q2 2023 will range between $0.9 million to $1.2 million, an improvement over the $1.3 million adjusted EBITDA loss reported in Q1 2023.
As of writing, SpringBig’s shares traded at $0.3129 per share, representing an increase of 1.00%.
