CENTENNIAL, CO—Nuburu, Inc. (NYSE American: BURU), a company specializing in miscellaneous electrical machinery, equipment, and supplies, has announced the departure of two board members, effective Monday. Lily Yan Hughes and Kristi Hummel have resigned from their positions as directors of the company, according to an 8-K filing with the Securities and Exchange Commission.
Nuburu, Inc., headquartered in Centennial, Colorado, and incorporated in Delaware, is listed under the trading symbol BURU on the NYSE American LLC exchange. The company's fiscal year ends on December 31. As noted in the filing, Nuburu is an emerging growth company but has not disclosed whether it has elected to use the extended transition period for complying with new or revised financial accounting standards.
The company, previously known as Tailwind Acquisition Corp., changed its name on June 4, 2020. The recent board changes have been filed in accordance with Section 13 or 15(d) of the Securities Exchange Act of 1934.
In other recent news, Nuburu, Inc. canceled a special meeting due to insufficient quorum, affecting two key proposals critical to its capital-raising efforts. The company, however, plans to reintroduce these proposals at its annual meeting. Among the proposals was a plan to issue up to $35.0 million in securities through non-public offerings. Nuburu also announced the cancellation of its Equity Line of Credit (ELOC) with Lincoln Park, transitioning to a new ELOC with Liqueous.
This includes an initial $3 million capital injection and weekly investments of $1.25 million until an additional $10 million is invested. In a strategic move to increase its stock trading price, Nuburu has announced a 1-for-40 reverse stock split, delayed due to a backlog at the Financial Industry Regulatory Authority.
Nuburu has also launched the AO-650 laser and the BLTM series and secured an $850,000 Phase II contract from NASA. Lastly, Nuburu received a $3 million investment in its common stock from strategic investors, led by Alessandro Zamboni, Chairman of the AvantGarde Group S.p.A.
InvestingPro Insights
Recent data from InvestingPro sheds light on Nuburu's (NYSE American: BURU) financial challenges, which may provide context for the recent board departures. The company's market capitalization stands at a modest $2.41 million, reflecting its status as a small-cap stock in the electrical machinery sector.
InvestingPro Tips highlight several areas of concern for Nuburu. The company is operating with a significant debt burden and may have trouble making interest payments. This financial strain is further evidenced by the fact that Nuburu is quickly burning through cash, with short-term obligations exceeding liquid assets. These factors could be contributing to the company's strategic decisions, including changes at the board level.
Additionally, Nuburu's revenue for the last twelve months as of Q2 2024 was just $0.7 million, with a staggering revenue decline of 75.09% over the same period. The company's profitability is also a major concern, as indicated by its negative gross profit of $1.98 million and an operating income of -$17.36 million.
These financial metrics align with the InvestingPro Tip that Nuburu is not profitable over the last twelve months. The company's stock price has also suffered, with a one-year price total return of -93.81%, suggesting significant challenges that may be influencing corporate governance decisions.
For investors seeking a more comprehensive analysis, InvestingPro offers 17 additional tips on Nuburu, providing a deeper understanding of the company's financial health and market position.
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