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Ascent Solar Technologies Inc (OTCMKTS:ASTI) Hits The OTC

Ascent Solar Technologies Inc (OTCMKTS:ASTI) Hits The OTC
Written by
Alex Carlson
Published on
February 26, 2016
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Like with many companies that get kicked off NASDAQ or the NYSE, they find love among OTC penny stock investors. That's the case with Ascent Solar Technologies Inc (OTCMKTS:ASTI). ASTI was notified by NASDAQ that its pending appeal before the NASDAQ Listing Qualifications Hearing Panel had been denied, and that trading in the company's common stock would be suspended on NASDAQ effective with the open of business on Thursday, February 25, 2016. As a result, the company's listing moved over to the OTCQB Venture Market. The company said:

"This transition to the OTCQB market does not affect the Company's business operations, and the implementation of a reverse stock split is not required for the trading of the Company's common stock to transition to OTCQB. The Company will continue to file periodic and certain other reports with the Securities and Exchange Commission under applicable federal securities laws."

ASTI is a developer of thin-film photovoltaic modules with substrate materials that are more flexible, versatile and rugged than traditional solar panels. Ascent Solar modules can be directly integrated into consumer products and off-grid applications, as well as aerospace and building integrated applications. EnerPlex is the company’s brand of consumer products and is a division of Ascent Solar. The company has a competitive advantage in the solar products space due its light weight CIGs technology, as opposed to crystalline silicon technology.Ascent Solar deals in battery and solar integrated cases for smart phones. Its Wavesol Mobile modules are lightweight and enable easy integration with a number of consumer products. The technology is thus very suitable for consumer electronics & off-grid applications, defense & military and transportation. Its products are designed to generate power anywhere. Most recently the company launched two new product lines and also announced a retail partnership with eBags, an online travel accessory website.Earlier this month, ASTI announced that the company had achieved a major breakthrough in power-to-weight ratio for its superlight solar module, delivering over 1700 watts of power per kilogram, operating at AM0, technically known as the space environment. At this performance, Ascent's superlight module would weigh 66% less than a comparable PV system using the highest-quality crystalline silicon and with far less design complexity. The elimination of two-thirds of the weight is a critical improvement for satellites, space vehicles and space stations.For space and near-space applications, power-to-weight ratio is a key performance metric. In addition to simplicity, ASTI's modules could dramatically impact cost. Depending on the application, such as low earth orbit all the way to manned flights, including contemplated missions to Mars, the fully burdened cost can be anywhere from thousands of dollars to $1 million per pound for a space launch. By creating this superior module with the best power-to-weight ratio of any available product, Ascent has enabled entrance into the rapidly growing space and near space markets.The biggest problem for ASTI has been significant dilution. This is what’s been really weighing on the share price. Just recently the company completed $7 million of a newly designated Series F 7% Convertible Preferred Stock (the “Series F Preferred Stock”) to existing investor Redwood Management LLC. The $7 million in new funding is a supplement to the Committed Equity Line (“CEL”) financing with Redwood that was secured in November 2015. The Series F Preferred Stock financing will allow the company to postpone any further drawdowns under the CEL until some later time in 2016.We are not bothered by the move from NASDAQ to the OTC. While it did cause some institutions to sell their stock, it created a buying opportunity for smart OTC investors. We've seen other names recently pop once they started traded on the OTC. Overall, ASTI is one of the most active and talked about names among penny stock investors. We will be updating Insider Financial as soon as we know more. For continuing coverage on ASTI and our other hot stock picks, sign up for our free newsletter today and get our next hot stock pick!Disclosure: We have no position in ASTI and have not been compensated for this article.

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