Ideal Power Inc. completed a $14 million equity offering that included an underwritten public offering of common stock and a concurrent private placement of pre‑funded warrants. Titan Partners, a division of American Capital Partners, served as the sole bookrunner for the transaction, which closed on February 25, 2026.
The company will use the proceeds to accelerate the commercialization of its B‑TRAN® bidirectional semiconductor power switch. Planned uses include design‑ins with key customers, custom development of the technology, an initial production ramp, and general corporate purposes such as working capital and debt reduction.
Ideal Power has been reporting net losses, with a Q3 2025 loss of $2.9 million and revenue of $24.45 million—a 102 % year‑over‑year increase. The company’s liquidity remains strong, with a current ratio of 9.76 and a quick ratio of 9.69, but its Altman Z‑Score of –7.09 places it in the distress zone, underscoring the need for additional capital to sustain its growth trajectory.
Investors reacted negatively to the announcement, citing the dilutive nature of the new shares and the company’s ongoing capital needs to fund the B‑TRAN program. The market’s concern reflects the balance between the potential upside of the technology and the short‑term cash burn required to bring it to market.
Dan Brdar, President and CEO, said, “We’re thrilled with our first design win representing significant validation of B‑TRAN® as an enabling technology for SSCBs and a catalyst for our anticipated revenue ramp starting in the second half of 2025.” The company’s management has emphasized that revenue growth and prudent expense management remain top priorities as it scales the technology.
The equity raise signals that Ideal Power is actively pursuing a path to profitability through the B‑TRAN platform, but the transaction also highlights the company’s need to manage cash burn and maintain investor confidence in a highly competitive semiconductor market.
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