LSI Industries Announces Public Offering of Common Stock to Support Growth and Acquisition Strategy
LSI Industries Inc, a leading U.S.-based manufacturer specializing in commercial lighting and display solutions, has officially announced the pricing of its previously disclosed underwritten public offering of common stock. The offering represents a strategic step in the Company’s ongoing growth initiatives and reflects its commitment to expanding its product offerings, market presence, and operational capabilities.
The Company plans to offer 4,600,000 shares of its common stock to the public at a price of $19.75 per share. The gross proceeds expected from the offering, before accounting for underwriting discounts, commissions, and other offering-related expenses, are estimated to be approximately $90 million. In addition, LSI has granted the underwriters a 30-day option to purchase up to an additional 690,000 shares of common stock at the same offering price, less underwriting discounts and commissions. This provision allows for flexibility and potential expansion of the offering based on market demand. The offering is expected to close on or about March 2, 2026, subject to the completion of customary closing conditions. Notably, all shares in this offering are being sold directly by LSI.
The Company has indicated that the net proceeds from this offering will be utilized to implement its growth and acquisition strategies. A primary focus will be funding a portion of the purchase price for the Company’s proposed acquisition of Royston Group, pursuant to the Agreement and Plan of Merger executed on February 20, 2026. This acquisition aligns with LSI’s strategic vision to broaden its product portfolio and enhance its capabilities in the commercial lighting and display sector. By integrating Royston Group’s operations, LSI aims to strengthen its service offerings, expand its customer base, and capture additional market share in key verticals.
Beyond acquisition-related funding, LSI intends to use proceeds from the public offering to reduce borrowings under its proposed Senior Secured Credit Facility Commitment Letter, dated January 21, 2026, with PNC Capital Markets LLC and PNC Bank, National Association. These borrowings were initially intended to support the financing of the Royston Group acquisition. By using offering proceeds to repay portions of this facility, LSI plans to optimize its capital structure and reduce interest expense, thereby creating a more sustainable financial platform to support long-term growth.
In addition to strategic acquisitions and debt repayment, a portion of the offering proceeds will also be allocated for general working capital and corporate purposes. This may include investments in manufacturing capacity, research and development initiatives, expansion of sales and marketing efforts, and other corporate activities designed to enhance operational efficiency and strengthen the Company’s competitive position in the market.
The offering is being led by prominent financial institutions. Oppenheimer & Co. and Craig-Hallum Capital Group LLC are serving as joint lead book-running managers, while H.C. Wainwright & Co. and Texas Capital Securities are acting as co-managers. These firms bring extensive experience in public offerings and capital markets transactions, and their involvement is expected to provide strong support in ensuring the successful execution of this offering.
This offering is being conducted pursuant to an effective shelf registration statement on Form S-3 filed with the Securities and Exchange Commission (“SEC”). The securities may be sold only through a prospectus, including a prospectus supplement, which forms part of the effective registration statement. A preliminary prospectus supplement and accompanying prospectus, describing the terms of the offering, were filed with the SEC on February 25, 2026. The final prospectus supplement, which will include complete offering details, will also be filed with the SEC and made available to investors. Interested parties may obtain copies of the final prospectus supplement and accompanying prospectus from Oppenheimer & Co. Inc., attention Syndicate Prospectus Department, at 85 Broad Street, 26th Floor, New York, NY 10004, via phone at (212) 667-8563, or via email at EquityProspectus@opco.com. Similarly, copies can be obtained from Craig-Hallum Capital Group LLC, at 222 South Ninth Street, Suite 350, Minneapolis, MN 55402, attention Equity Capital Markets, via phone at (612) 334-6300, or email at prospectus@chlm.com. Electronic versions will also be accessible on the SEC’s website at www.sec.gov. It is important to note that this press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale in any state or jurisdiction where such an offer or sale would be unlawful prior to registration or qualification under applicable securities laws.
About LSI Industries
Headquartered in Cincinnati, Ohio, LSI Industries is a publicly traded company listed on the Nasdaq Stock Exchange under the ticker symbol LYTS. LSI is recognized as a leading manufacturer of advanced lighting, graphics, and display solutions, serving a variety of strategic vertical markets across the United States and Canada. The Company’s portfolio includes non-residential indoor and outdoor lighting systems, print graphics, digital graphics, refrigerated displays, and custom-designed displays. These products are designed to enhance the visibility of customer brands and improve consumer engagement, offering tangible value to retail environments, commercial facilities, and other strategic market segments.
LSI differentiates itself through its commitment to American-made products and comprehensive project management services. The Company provides end-to-end support for large-scale rollouts, ensuring that complex installations and deployments are executed efficiently and effectively. This capability is particularly valuable for clients seeking turnkey solutions that combine high-quality products with professional services and installation expertise.
The Company employs approximately 2,000 people across 18 manufacturing plants located throughout the United States and Canada. This extensive operational footprint enables LSI to maintain a high degree of control over production quality, supply chain reliability, and customer service. By leveraging its manufacturing expertise, broad geographic reach, and diversified product offerings, LSI continues to solidify its position as a trusted provider of lighting and display solutions in North America.
Strategic Outlook
The public offering of common stock represents a key component of LSI’s strategy to accelerate growth and expand its capabilities through acquisitions and strategic investments. The anticipated acquisition of Royston Group will enhance LSI’s product portfolio and broaden its market reach, while the use of offering proceeds to reduce debt will improve financial flexibility and strengthen the Company’s balance sheet. Combined with ongoing investments in operational efficiency, product innovation, and customer engagement, these initiatives are expected to position LSI for sustainable long-term growth in an evolving commercial lighting and display market.
By accessing public markets and leveraging its strong financial position, LSI demonstrates a proactive approach to growth, strategic acquisitions, and shareholder value creation. The successful completion of this offering will provide the Company with the capital necessary to execute its strategic initiatives, including acquisitions, debt management, and operational enhancements, ultimately supporting LSI’s mission of delivering innovative lighting and display solutions that drive customer success.
