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Lifeloc Technologies (OTC PINK:LCTC) has secured a $750,000 financing through a subordinated debenture agreement with Diamond Bridge Capital, LP. The deal includes a warrant to purchase 62,500 shares at $4.50 per share and carries an 8.25% annual interest rate, maturing December 31, 2030.
The funding will support growth initiatives and R&D efforts, particularly the commercialization of SpinDx technology, which aims to revolutionize drug testing by providing quick, local results within minutes at approximately $25 per test, compared to current lab testing costs of $100-$300 with longer wait times.
The company plans to launch SpinDx in Q4 2025, with ongoing efforts to reduce the prototype reader size by 25%. Lifeloc has confirmed the technology’s accuracy through in-house testing with samples from Anschutz Medical Center and plans to establish beta test sites for further validation.
Lifeloc Technologies (OTC PINK:LCTC) ha ottenuto un finanziamento di $750,000 tramite un accordo di debenture subordinata con Diamond Bridge Capital, LP. L’accordo include un warrant per l’acquisto di 62,500 azioni a $4.50 per azione e prevede un tasso d’interesse annuale dell’8.25%, con scadenza il 31 dicembre 2030.
Il finanziamento supporterà iniziative di crescita e sforzi di R&D, in particolare la commercializzazione della SpinDx technology, che mira a rivoluzionare il test dei farmaci fornendo risultati rapidi e locali in pochi minuti a un costo di circa $25 per test, rispetto ai costi attuali dei test di laboratorio che variano tra $100 e $300 con tempi di attesa più lunghi.
L’azienda prevede di lanciare SpinDx nel Q4 del 2025, con sforzi continui per ridurre le dimensioni del lettore del prototipo del 25%. Lifeloc ha confermato l’accuratezza della tecnologia attraverso test interni con campioni del Anschutz Medical Center e prevede di stabilire siti di beta testing per ulteriori validazioni.
Lifeloc Technologies (OTC PINK:LCTC) ha conseguido un financiamiento de $750,000 a través de un acuerdo de debentura subordinada con Diamond Bridge Capital, LP. El trato incluye una opción para comprar 62,500 acciones a $4.50 por acción y tiene una tasa de interés anual del 8.25%, con vencimiento el 31 de diciembre de 2030.
Los fondos apoyarán iniciativas de crecimiento y esfuerzos de I+D, particularmente la comercialización de la SpinDx technology, que busca revolucionar las pruebas de drogas al proporcionar resultados rápidos y locales en minutos a un costo aproximado de $25 por prueba, en comparación con los costos actuales de pruebas de laboratorio que oscilan entre $100 y $300 con tiempos de espera más largos.
La empresa planea lanzar SpinDx en el cuarto trimestre de 2025, con esfuerzos continuos para reducir el tamaño del lector del prototipo en un 25%. Lifeloc ha confirmado la precisión de la tecnología a través de pruebas internas con muestras del Anschutz Medical Center y planea establecer sitios de prueba beta para una validación adicional.
Lifeloc Technologies (OTC PINK:LCTC)는 Diamond Bridge Capital, LP와의 후순위 사채 계약을 통해 $750,000의 자금을 확보했습니다. 이 거래에는 62,500주를 주당 $4.50에 구매할 수 있는 워런트가 포함되어 있으며, 연이율은 8.25%로 2030년 12월 31일에 만료됩니다.
이번 자금은 성장 이니셔티브와 연구 개발 노력을 지원하며, 특히 약물 테스트를 혁신하는 것을 목표로 하는 SpinDx 기술의 상용화를 지원합니다. SpinDx 기술은 약 $25의 비용으로 몇 분 만에 빠르고 지역적인 결과를 제공하는 것을 목표로 하며, 현재의 실험실 테스트 비용은 $100-$300이며 대기 시간이 더 깁니다.
회사는 2025년 4분기에 SpinDx를 출시할 계획이며, 프로토타입 리더의 크기를 25% 줄이기 위한 지속적인 노력을 기울이고 있습니다. Lifeloc은 Anschutz Medical Center의 샘플을 통해 내에서 테스트하여 기술의 정확성을 확인했으며, 추가 검증을 위한 베타 테스트 장소를 설정할 계획입니다.
Lifeloc Technologies (OTC PINK:LCTC) a sécurisé un financement de 750 000 $ grâce à un accord de débenture subordonnée avec Diamond Bridge Capital, LP. L’accord comprend un bon de souscription pour acheter 62 500 actions à 4,50 $ par action et porte un taux d’intérêt annuel de 8,25 %, arrivant à échéance le 31 décembre 2030.
Le financement soutiendra les initiatives de croissance et les efforts de R&D, en particulier la commercialisation de la SpinDx technology, qui vise à révolutionner les tests de drogues en fournissant des résultats rapides et locaux en quelques minutes à environ 25 $ par test, contre des coûts de tests en laboratoire actuels de 100 $ à 300 $ avec des temps d’attente plus longs.
L’entreprise prévoit de lancer SpinDx au quatrième trimestre de 2025, avec des efforts continus pour réduire la taille du lecteur prototype de 25 %. Lifeloc a confirmé la précision de la technologie grâce à des tests internes avec des échantillons du Anschutz Medical Center et prévoit d’établir des sites de test bêta pour une validation supplémentaire.
Lifeloc Technologies (OTC PINK:LCTC) hat eine Finanzierung von $750,000 durch eine nachrangige Debenture-Vereinbarung mit Diamond Bridge Capital, LP gesichert. Der Deal umfasst ein Warrant zum Kauf von 62.500 Aktien zu einem Preis von $4,50 pro Aktie und hat einen jährlichen Zinssatz von 8,25%, fällig am 31. Dezember 2030.
Die Finanzierung wird Wachstumsinitiativen und F&E-Bemühungen unterstützen, insbesondere die Kommerzialisierung der SpinDx technology, die darauf abzielt, Drogentests zu revolutionieren, indem sie schnelle, lokale Ergebnisse innerhalb von Minuten zu einem Preis von etwa $25 pro Test bietet, im Vergleich zu den aktuellen Labor-Testkosten von $100-$300 mit längeren Wartezeiten.
Das Unternehmen plant, SpinDx im vierten Quartal 2025 auf den Markt zu bringen, mit fortlaufenden Bemühungen, die Größe des Prototypenlesers um 25% zu reduzieren. Lifeloc hat die Genauigkeit der Technologie durch interne Tests mit Proben des Anschutz Medical Center bestätigt und plant, Beta-Teststandorte zur weiteren Validierung einzurichten.
Positive
- Secured $750,000 in financing to support growth and R&D
- SpinDx technology could offer significant cost reduction in drug testing ($25 vs $100-$300)
- Planned commercialization timeline set for Q4 2025
- Technology accuracy confirmed through in-house testing
Negative
- 8.25% interest rate on debenture represents significant debt cost
- Potential shareholder dilution through warrant issuance of 62,500 shares
- Product launch still approximately 10 months away
- Will require additional investment in automation equipment and specialized personnel
WHEAT RIDGE, CO / ACCESSWIRE / January 7, 2025 / Lifeloc Technologies, Inc. (OTC PINK:LCTC), a leading provider of portable breath alcohol testing devices and related solutions, today announced the successful closing of a $750,000 financing transaction through a subordinated debenture agreement with Diamond Bridge Capital, LP. The financing also includes a warrant granting Diamond Bridge Capital the right to purchase up to 62,500 shares of Lifeloc’s common stock at a strike price of $4.50 per share.
The subordinated debenture carries an annual interest rate of 8.25% and matures on December 31, 2030. The proceeds will be used to support the Company’s ongoing growth initiatives, fund research and development efforts, including commercialization of Lifeloc’s SpinDx technology, and strengthen its financial position as it continues to innovate in the field of alcohol detection and drug screening technologies. The financing agreement also provides for registration rights, obligating the Company to file a registration statement with the SEC for the resale of the shares underlying the warrant issued to Diamond Bridge Capital. This demonstrates Lifeloc’s commitment to transparency and its ongoing focus on creating value for shareholders.
“This financing marks an important step forward for Lifeloc as we expand our capabilities and build on our legacy of innovation,” said Wayne Willkomm, CEO of Lifeloc Technologies. “The commitment from Diamond Bridge Capital reflects confidence in our business model and future growth prospects. With these funds, we intend to focus on bringing our SpinDx technology to market, expanding our industry-leading testing solutions into a new and growing market.”
“At the beginning of the computer age, data was gathered and then sent to an outside service center for processing,” said Vern Kornelsen, Lifeloc’s Chief Financial Officer and largest individual shareholder. “Later, with the evolution of the personal computer, data was gathered and processed locally. We believe SpinDx™ will drive the same evolution in drug testing.”
Under current industry practice, testing samples are collected and sent to an outside lab for analysis, with the results available a day later, sometimes several days later – at a usual cost of upwards of $100 – $300 per test. Lifeloc expects SpinDx™ to make it possible to collect a sample and get the results locally within minutes – at a cost expected to be in the range of $25 per test.
“There are efforts underway by others to capture this market,” said Kornelsen. “However, SpinDx™ is unique in its ability to accurately and quickly process the sample and provide a quantitative result versus the very few devices available today.”
Lifeloc’s extensive in-house testing has confirmed that the technology “works.” The reader’s ability to produce accurate output using samples provided by Anschutz Medical Center has been demonstrated, with next steps being the achievement of entire analysis within the disk followed by the SpinDx™ reader’s subsequent placement with several beta test sites where it will be further validated. The company also intends to reduce the current prototype reader’s size by 25% to make it more market friendly. Initially, Lifeloc expects the analytical disk to be produced and supplied in small quantities by a large international microfluidics company. By the time the system is market ready, currently planned for Q4 of 2025, the Company plans to have acquired high volume automation equipment, and to have identified microfluidics-experienced personnel such that Lifeloc is able to produce the disk in quantity in house.
Lifeloc has prepared the following forward-looking financial projections, contemplating the potential effect of commercialization and market adoption of its SpinDx™ technology:
|
2024 |
2025 |
2026 |
2027 |
2028 |
||||||||||||||||
|
Sales |
8,543,099 |
7,736,250 |
9,070,100 |
13,133,300 |
19,526,100 |
|||||||||||||||
|
Cost of Goods Sold |
5,036,244 |
4,641,750 |
5,351,358 |
7,617,314 |
11,129,876 |
|||||||||||||||
|
Gross Profit |
3,506,855 |
3,094,500 |
3,718,742 |
5,515,986 |
8,396,224 |
|||||||||||||||
|
Operating expenses including interest, before R&D |
2,591,495 |
2,804,233 |
3,013,102 |
3,067,079 |
3,120,636 |
|||||||||||||||
|
Profit before R&D |
915,360 |
290,267 |
705,640 |
2,448,907 |
5,275,588 |
|||||||||||||||
|
R&D |
2,156,625 |
1,943,072 |
970,572 |
970,572 |
970,572 |
|||||||||||||||
|
Profit (loss) before tax |
(1,241,265 |
) |
(1,652,805 |
) |
(264,932 |
) |
1,478,335 |
4,305,016 |
||||||||||||
Lifeloc anticipates that its standing in the alcohol breathalyzer market will provide an edge in introducing the SpinDx™ drug detection product to the market. After commercialization of the initial SpinDx™ product, the company plans to begin teaming SpinDx™ with Lifeloc’s alcohol breathalyzer, with the goal of developing a marijuana breathalyzer.
“The strategic funding we’re receiving from Diamond Bridge Capital not only reinforces our financial stability but also enables us to stay at the forefront of technological advancements in safety and public health,” Willkomm added. “We are excited about the opportunities this investment creates and look forward to driving value for all our stakeholders.”
About Lifeloc Technologies
Lifeloc Technologies, Inc. (OTC: LCTC) is a trusted U.S. manufacturer of evidential breath alcohol testers and related training and supplies for Workplace, Law Enforcement, Corrections and International customers. Lifeloc stock trades over-the-counter under the symbol LCTC. We are a fully reporting Company with our SEC filings available on our web site, www.lifeloc.com/investor.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including certain forward-looking financial projections that reflect the Company’s current expectations for its financial performance in future periods. These projections include estimates of revenue, operating expenses, and other financial metrics and are intended to provide investors with insights into the Company’s anticipated financial performance. The projections are based on a variety of assumptions that the Company believes are reasonable as of the date hereof. However, they should not be relied upon as a definitive representation of the Company’s future results. These forward-looking financial projections may differ materially from the Company’s actual performance and are subject to risks and uncertainties, including, but not limited to, the possibility that the Company may fail to successfully commercialize its SpinDx™ technology within the contemplated time frame or at all, that the Company may fail to achieve expected market adoption of its technology solutions, that the Company may be unable to produce its solutions at the cost it currently anticipates, to offer its solution at the prices it currently expects, or to achieve the profit margin it anticipates, and that the Company may fail to raise sufficient additional capital to complete its research and development plans, in addition to those additional risks outlined in the Company’s filings with the Securities and Exchange Commission, including but not limited to those risk factors outlined in the Company’s annual report on Form 10-K. Investors should not rely on these projections and should review them in the context of the Company’s overall financial disclosures and risk factors.
Contact:
Investor Relations
Lifeloc Technologies, Inc.
Email: corporateinfo@lifeloc.com
Phone: (303) 431-9500
SOURCE: Lifeloc Technologies, Inc.
View the original press release on accesswire.com
FAQ
What are the terms of LCTC’s $750,000 financing deal with Diamond Bridge Capital?
The financing includes an 8.25% annual interest rate subordinated debenture maturing December 31, 2030, plus warrants to purchase 62,500 shares at $4.50 per share.
How much will LCTC’s SpinDx drug testing service cost compared to current market prices?
SpinDx is expected to cost approximately $25 per test, compared to current market prices of $100-$300 per test.
When does LCTC plan to launch its SpinDx technology commercially?
Lifeloc Technologies plans to launch SpinDx commercially in Q4 2025.
What advantages does LCTC’s SpinDx offer over traditional drug testing methods?
SpinDx provides local results within minutes versus traditional methods that require sending samples to labs with results taking days, while offering significant cost savings.
What modifications is LCTC planning for the SpinDx reader before launch?
Lifeloc plans to reduce the current prototype reader’s size by 25% to make it more market-friendly.
