When Jerash Holdings (US), Inc. (NASDAQ: JRSH) began trading its common stock in the Nasdaq Capital Market this week, it marked the end of a historic journey, which took an all-important turn through Rochester.
For the past year, attorneys in the Securities and Capital Markets practice group at Harter Secrest & Emery LLP, a full-service business law firm with operations throughout New York, worked with Jerash officials to make the Nasdaq listing possible. A team of Harter Secrest & Emery attorneys, led by partners Jim M. Jenkins and Alex R. McClean, guided Jerash through a series of offerings, registration with the Securities and Exchange Commission, and, ultimately, the listing and commencement of trading on the Nasdaq.
In doing so, Jerash became what is believed to be the first Jordanian company to list on a major U.S. exchange.
“This was an important accomplishment for our client and an exciting process for our firm to be involved with,” Jenkins said. “Jerash’s successful Nasdaq listing is being celebrated, by the company and in Jordan, as a monumental accomplishment. We are thrilled to have worked as the company’s securities counsel throughout this effort.”
Jerash is a producer of high quality textile goods for leading global brands and well-known retailers, such as Walmart, Costco, Sears, Columbia, Land’s End, and the owners of such brands as The North Face, Nautica, Timberland, Calvin Klein, Tommy Hilfiger, IZOD, and more. The company is principally engaged in the manufacturing and exporting of customized, ready-made sport and outerwear goods from knitted fabrics.
Harter Secrest & Emery began working with Jerash in the summer of 2016, representing the company in a successful private offering. From there, the firm began the SEC registration process, creating the foundation for an eventual Initial Public Offering (IPO). As part of the lead-up to the IPO, Jenkins and other Harter Secrest & Emery attorneys assisted Jerash in creating and preparing for its road show presentations to potential investors. Road show presentations were given in Jerash’s home country of Jordan, as well as Hong Kong, mainland China, New York City, and in Harter Secrest & Emery’s offices in Rochester.
“We attracted approximately 40 people to the presentation in April, including representatives from national and international investment banks, as well as potential investors from throughout Western New York,” Jenkins said. “Hosting a road show presentation in Western New York is not a common occurrence, but it was a successful effort, as were the other road show presentations. Jerash was very well-received by the investment community.”
On May 2, Jerash announced the closing of its “best efforts” initial public offering of common stock, at a price of $7.00 per share. The company sold the maximum amount of shares in the oversubscribed offering, a total of 1.43 million shares, bringing in a total gross proceeds of $10,010,000, which the company intends to use as growth capital to build or acquire additional production capacity to meet rising demand.
When trading of Jerash stock on the Nasdaq commenced on May 7, the stock was selling for $7.00 per share. By the end of trading a day later, on May 8, the value had already increased to $9.50 per share.
Harter Secrest & Emery is recognized within Upstate New York as a leader in the securities and capital markets industry. The firm has represented issuers and underwriters in more than 50 public offerings, with clients ranging from businesses seeking start-up capital to Fortune 500 companies. The firm’s securities practitioners assist clients with private and public offerings of securities, ongoing regulatory compliance and reporting, proxy solicitations, tender offers, and securities litigation and arbitration before the Securities and Exchange Commission, self-regulatory organizations, and state and federal courts.