Adamas One Corp. (JEWL) – the first IPO priced in December – scored a moonshot in its debut today (Friday, Dec. 9, 2022) on the NASDAQ. The synthetic diamond company’s stock opened at 11:35 a.m. EST at $8.60 – up 91.1 percent from its $4.50 IPO price on volume of 56,590 shares, NASDAQ records show. Adamas One ran up quickly to trade at $9.77 – up 117.1 percent from its IPO price – shortly before noon EST today. A moonshot occurs when a stock doubles its IPO price – or more – on the first day of trading.
The stock’s performance is worth noting for more than its moonshot status. Adamas One’s IPO started trading today – Friday, Dec. 9, 2022 – two days after the expected date of its debut. The NASDAQ approved the listing today, according to an SEC filing dated Dec. 9, 2022. The downsized IPO was priced Tuesday night, Dec. 6, 2022: 2.45 million shares, down from 3.15 million shares in the prospectus, at $4.50 – the bottom of its $4.50-to-$5.00 price range – to raise $11.03 million.
Alexander Capital, L.P. and Network 1 Financial Securities were the joint book-runners.
In the era of increased NASDAQ scrutiny of small-cap IPOs, Adamas One (JEWL) is the first IPO so far to encounter a delay of a day or more in its trading debut.
By 12:12 p.m. EST today, Adamas One shares were trading at $5.55 – up $1.05 or 23.3 percent from their IPO price – but well off their moonshot high.
At the close, Adamas One’s stock was at $4.74 – up 24 cents or 5.33 percent from its IPO price on volume of 1.39 million shares.
The IPO’s pricing had been delayed a few times.
Based in Scottsdale, Arizona, Adamas One uses proprietary CVD (chemical vapor deposition) technology to make synthetic high-grade diamonds for jewelry as well as diamonds and diamond materials for industrial uses.
The company, founded in 2018, is not profitable, according to the prospectus.
Adamas One’s IPO comes in a week when only one other deal – the NASDAQ uplisting and unit public offering of KWESST Micro Systems (KWE/ KWESM) – got priced. KWESST Micro Systems priced 2.5 million units at $4.13 to raise $10.33 million. KWESST Micro Systems’ stock sank in its first day of NASDAQ trading, opening Wednesday, Dec. 7, 2022, at $2.90 and closing at $3.17 on volume of about 841,000 shares. ThinkEquity was the sole book-runner.
KWESST Micro Systems Inc. develops and commercializes next-generation technology solutions that deliver a tactical advantage for military, public safety agencies and personal defense markets. The company, based in Ottawa, says its “core mission is to protect and save lives.”
Other micro-cap IPOs of interest – electric bike and motorcycle maker SONDORS, Inc. (SODR proposed) and inverter and generator company Erayak Power Solution Group Inc. (RAYA proposed) – were pushed back from this week’s IPO Calendar onto next week’s roster.
Stay tuned.
(For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.)
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