Urban-gro stock debuts on OTC markets

LAFAYETTE  — Urban-gro Inc. (OTCQX: UGRO) began trading on the public markets Monday morning after it announced its initial public offering.

The company’s 1,799,150 shares of common stock debuted at a bid price of $2.50 per share, higher than the company’s initial price target of $2.41. 

The Lafayette-based engineering firm specializing in cannabis growhouses initially was approved to trade on the over-the-counter QX market in August under the ticker symbol UGRW, but filed notice in mid-September with the U.S. Securities and Exchange Commission that it would kick off trading within weeks. 

In that filing, urban-gro said it expected to raise just more than $4.3 million, which would all go toward existing company investors. The company also plans to reach profitability by 2020, it said in its prospectus, despite making $5.64 million in sales but losing $1.43 million in the previous quarter.

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