IPO Outlook: IZM, IBG, USGO

This week's IPOs in focus are:

ICZOOM Group Inc.

ICZOOM Group Inc, an online marketplace for trading electronic components, is rumored to be preparing to IPO on Wednesday, March 15, 2023. It will list on the NASDAQ with the ticker IZM.

The IPO will offer 1.5 million shares to investors at a price range of $4.00 to $5.00 per share. The estimated total value of the IPO is $6.8m. Earlier, the Company had filed to sell 3 million shares within the same range but revised the terms in September to offer 4.4 million shares within a range of $5 to $6. Now, this has been cut to 1.5 million at a lower rate.

What is ICZOOM Group?

ICZOOM serves small and medium-sized enterprises (SMEs) in China by providing electrical components and related services.

ICZOOM runs a B2B trading platform, operating as Pai Ming Shenzhen, which offers various semiconductor products like integrated circuits and passive components and other electronic components such as maintenance tools, design tools, and electromechanical components.

ICZOOM Group was established in 2012 and generated $290m in revenue for the 12 months ending on June 30, 2022.

Who is Leading the ICZOOM Group IPO?

The Benchmark Company LLC is facilitating the ICZOOM IPO.

ICZOOM Group Use of Proceeds

ICZOOM Group has determined the allocation of its funds from the upcoming share sale. It plans to use 20% of the proceeds for sales and marketing activities to promote its online B2B trading platform. Another 20% of the funds will be invested in research and development to enhance its product offerings and platform features.

ICZOOM will also allocate 10% of the funds toward improving its logistics and warehousing capabilities to serve its customers better.

50% of the proceeds will be used for working capital, ensuring the Company has sufficient funds to maintain its day-to-day operations and support its future growth.

Innovation Beverage Group Ltd

Innovation Beverage Group is an Australian company set to go public with its IPO on Wednesday, March 15, 2023.

The Company plans to sell 2.5 million shares of its stock for $4.15 each. The total amount of money it expects to make from this sale is $10.4m.

The Company has asked for its shares and warrants to be listed on the NASDAQ, with shares traded under the symbol IBG and warrants traded under the symbol IBGWW.

The Company anticipates that its audited financial statements for the year ended December 31, 2022, will not be available until April 2023.

What is Innovation Beverage Group?

IBG is a company focused on innovation in the beverage industry, with a portfolio of unique and innovative products to provide consumers with a better drinking experience. The Company creates, makes, sells, and exports drinks. It has 60 different types of drinks across 13 brands, focusing on high quality.

The Company has two subsidiaries: IBG USA LLC, which is responsible for bringing the Company's drinks to the United States, and Reg Liquors LLC, which sells wines and spirits online.

Its most popular brand is the Australian Bitters Company, which made up 75% of its revenue in 2021. It also sells BitterTales, a brand it has exclusive rights to sell in the United States.

Who is Leading the Innovation Beverage Group IPO?

Aegis Capital Corp. is acting as the sole underwriter in this offering.

Innovation Beverage Group Use of Proceeds

The Company intends to utilize the proceeds from the sale of shares to pay the seller of Reg Liquors LLC, also known as Wired for Wine, $600,000.

The remaining amount will be used for general corporate purposes and operating expenses and may also be utilized to invest in complementary products or assets.

The Company believes that the funds raised from this offering and its existing cash will be adequate to support its operations for the next 24 months. However, the Company retains the discretion to use the proceeds for other purposes as needed. Investors will be relying on the Company's judgment in utilizing the funds.

U.S. GoldMining Inc

U.S. GoldMining Inc., a mining exploration company, is preparing to go public with its IPO. The expected price for the IPO is $20m, and it is scheduled to take place on Wednesday, March 15, 2023. The Company is set to offer 2 million units at a price of $10.00 per share. Each Unit consists of one share of common stock and one Warrant. This IPO is an exciting opportunity for investors to get involved in the mining industry and support the growth of U.S. GoldMining Inc.

U.S. GoldMining has applied to list its common stock and Warrants on the NYSE American under the symbols USGO and USGOW, respectively.

What is U.S. GoldMining Inc?

U.S. GoldMining Inc. is an exploration company that operates publicly and concentrates on acquiring and developing gold assets in the Americas. With a disciplined acquisition approach, the Company has gained control over a diversified collection of gold and gold-copper projects at the resource stage across Canada, the United States, Brazil, Colombia, and Peru.

Additionally, GoldMining owns over 21 million shares of Gold Royalty Corp. (NYSE American: GROY).

Who is Leading the U.S. GoldMining Inc IPO?

H.C. Wainwright & Co. and BMO Capital Markets are serving as the underwriters for the offering.

U.S. GoldMining Inc Use of Proceeds

This offering primarily aims to raise funds for U.S. GoldMining to carry out planned exploration work at the Whistler Project. The net proceeds from this offering will be used to fund exploration and development activities, community consultation, permitting/reporting, environmental baseline, and heritage studies.

The funds will also be used to repay advances made by U.S. GoldMining and/or its subsidiaries and re-activate the existing exploration camp at the Whistler Project and working capital. As of the end of the previous calendar month, the Company had negative working capital of around -$1.6m.

After deducting underwriting discounts and commissions and estimated offering expenses payable by the Company, the estimated net proceeds from the offering are $17,753,000.