NanoMech announced Wednesday it has secured an additional $12 million in capital for its Series B Financing round to continue growth as a global nanoscale manufacturer. The latest round of investors include Meadow Lane Investments, Hendricks Investment Holdings, Advantage Capital Partners and Spring Creek Investments.
Building on continued momentum, NanoMech said it will use the financing to expand its global reach, invest in additional sales and marketing resources and increase investment in its market platforms – nGlide, TuffTek, and nGuard.
In order to take advantage of opportunities immediately available, the company also has approximately 60 days to consider additional private placements of its stock in this round. The proceeds will be used to increase its sales and marketing infrastructure and activities, continue to expand and protect its intellectual property, and for working capital.
“The additional capital proceeds are for accelerating awareness and demand for our industry transformative nGlide and TuffTek products and expanding our physical presence in the energy manufacturing and transportation markets,” said CEO Jim Phillips.
He add that over the past year NanoMech has reached a critical milestone in having its core patents issued by the USPTO and several key international patent offices. The issuance of these patents fortifies the company’s position as a leader in the lubricant additives industry, a market valued at $300 billion as it serves multiple industries that use machinery. Additionally, winning these patents increases the company’s intellectual property in providing the most wear resistant cutting tools and wear parts in the global $25 billion cutting tool industry, the release states.
NanoMech is shipping products globally to Fortune 100 companies as well as to emerging companies in a number of industries from manufacturing to Indy and NASCAR racing as well as agriculture, construction and military applications.
The company said it’s also finalizing the construction of a 25,000 square foot production expansion to triple the size of current operations which will serve as the its world headquarters. The construction is expected to be completed in October. While the new facility will connect to the existing building, NanoMech has purchased the adjacent 7.3-acre tract for future development providing the company with the ability to expand on a contiguous 9 acre campus.
Dr. Ajay Malshe, chief technology officer and founder, said, "Our new nanofactory and expanded headquarters will also allow us to meet current demand for our products while advancing ongoing research and development efforts. The state-of-the-art, smart manufacturing facility and laboratories will further position our products and scientists as some of the best and most innovative in the world. This advanced facility will allow us to accelerate the development and commercialization of innovative products that people have only dreamed of before.”