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Monday, Apr 22, 2024

DigiPath Raises $2.2 Million in Private Placement

DigiPath Inc., a company that provides digital equipment for life science research and production facilities, has raised $2.2 million in growth capital from individual investors and filed its second-quarter financials with the Securities and Exchange Commission. The Agoura Hills company has raised a total of $8.2 million so far this year in two rounds of private placements. Its stock trades over the counter. “With financing in place, we expect renewed growth in revenue over the near-term as we re-invest in sales and prepare to launch new products in the nutra-pharmaceutical space,” President Todd Denkin said in a statement. For the quarter ended March 31, the company reported a net loss of $265,000 (5 cents a share) compared to $103,000 (2 cents) for the same period a year ago. Revenue declined 296 percent to $51,000. The company attributed the decline in revenue to “ insufficient capital available for sales and marketing expenditures required to maintain and grow revenue.” Shares closed down 10 cents or 15 percent to 55 cents on the over the counter market.

Joel Russel
Joel Russel
Joel Russell joined the Los Angeles Business Journal in 2006 as a reporter. He transferred to sister publication San Fernando Valley Business Journal in 2012 as managing editor. Since he assumed the position of editor in 2015, the Business Journal has been recognized four times as the best small-circulation tabloid business publication in the country by the Alliance of Area Business Publishers. Previously, he worked as senior editor at Hispanic Business magazine and editor of Business Mexico.

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