Sigma Labs Announces Closing of $1.0 Million Private Placement Financing

SANTA FE, N.M., April 06, 2018 -- Sigma Labs, Inc. (NASDAQ:SGLB) (“Sigma Labs” or the “Company”), a provider of quality assurance software under the PrintRite3D® brand, today announced the sale to two purchasers in a private placement of an aggregate of 1,000 shares of the Company’s newly-created non-voting Series B Convertible Preferred Stock, stated value $1,000 per share (the “Series B Convertible Preferred”), and warrants (the “Warrants”) to purchase an aggregate of up to 750,000 shares of the Company’s common stock, par value $0.001 per share (“Common Stock”), for an aggregate purchase price of $1,000,000.  The Series B Convertible Preferred is convertible into 1,000,000 shares of Common Stock based on a conversion price of $1.00 per share. The Warrants are exercisable for five years commencing six months following the closing of the private placement at an exercise price of $1.47 per share.

The Company intends to use the net proceeds of this offering (i) to make additional hires with metallurgical and software expertise for the purpose of accelerating and completing the development of tools with Signature/Solution libraries and artificial intelligence facets that are designed to enable sophisticated closed loop control of additive manufacturing machines for real time quality assurance or rescue, (ii) to acquire additional software and customer support personnel for production implementations, and (iii) for other working capital and general corporate purposes.

The net proceeds to Sigma Labs from this offering are anticipated to be approximately $840,000 after deducting the placement agent commissions and other estimated offering expenses payable by Sigma Labs.

Dawson James Securities, Inc. acted as the exclusive placement agent for this offering, and was represented by Schiff Hardin, LLP, Washington, DC.

This press release does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

For more information regarding the private placement, please refer to the Current Report on Form 8-K filed by Sigma Labs today.

About Sigma Labs, Inc.
Sigma Labs, Inc. is a provider of quality assurance software under the PrintRite3D® brand and a developer of advanced, in-process, non-destructive quality assurance software for commercial firms worldwide seeking productive solutions for advanced manufacturing. For more information please visit us at www.sigmalabsinc.com. 

Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “project,” “prospects,” “outlook,” and similar words or expressions, or future or conditional verbs such as “will,” “should,” “would,” “may,” and “could” are generally forward-looking in nature and not historical facts. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company's actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional risks and uncertainties that could impact the Company’s forward-looking statements, please see the Company’s Annual Report on Form 10-K (including but not limited to the discussion under “Risk Factors” therein) filed with the SEC on March 31, 2017 and which may be viewed at http://www.sec.gov.

Investor Relations Contact:
Bret Shapiro
Managing Director
CORE IR
561-479-8566
[email protected]