Facts about Scio Diamond
Scio Diamond Technology Corporation
411 University Ridge, Suite 110
Greenville, SC 29601
Public as of September 30, 2011
$1,418,341 (March 31, 2014)
Commercial production of lab-grown diamonds for fine jewelry and industrial applications
- Colorless Diamonds
- Fancy color yellow diamonds
- Fancy color pink diamonds
- Custom diamond products for industrial applications
Gerald McGuire, President and CEO
Jonathan Pfohl, CFO
Board of Directors
Bruce Likly, Vice Chairman
Bern McPheely, Chairman
Scio Diamond history
Apollo Diamond, Inc. started in Boston, founded by Dr. Robert Linares, an expert in crystal growth technologies and an early pioneer in chemical vapor deposition (CVD) techniques. Apollo was successful in demonstrating the CVD technology and growing diamonds for gems, military and industrial applications. Over the course of approximately 10 years, Apollo created a significant pool of intellectual property, including more than 20 patents.
Through a series of business transactions involving Apollo Diamond and Krossbow Holdings, a public shell company, Scio Diamond Technology Corporation was formed. Assets, including patents and intellectual property from Apollo, were transferred to Krossbow Holdings and the company began operations as Scio Diamond.
Scio Diamond opened its company headquarters in Greenville, SC, where it also built and opened a production facility.
Scio Diamond received its first revenues from diamond sales.
A group of investors, concerned about inadequate governance practices, initiated legal proceedings against the board of directors. These legal issues were resolved in 2014 with a new management team and board of directors.
The group of investors that brought suit in 2013 on behalf of shareholders forced a settlement with the Scio Diamond board of directors. The old board resigned and returned 1 million shares to the company.
A new independent board was formed. Six board members (James Korn, Karl Leaverton, Bruce Likly, Bern McPheely, Lewis Smoak, Ben Wolkowitz) were appointed.
Scio Diamond adopted new by-laws consistent with established good governance practices.
The board and management team held the very first Scio Diamond annual shareholder meeting. At the meeting, all of the board members who were appointed in June 2014 were elected by the shareholders.
Scio Diamond signed a memo of understanding for a joint venture with Renaissance Diamonds Inc. to develop and deliver high-quality, lab-grown fancy color diamonds to the gem and jewelry market.
Scio Diamond completed several financial milestones.
• Closed on $2 million in equity financing through a direct private placement of common shares to accredited investors, which began in July 2014 and was fully subscribed in December 2014
• Received $2.5 million in growth funding from Heritage Gemstone Investors
• Refinanced a $1.5 million loan from Platinum Capital Partners at more favorable terms, reducing Scio Diamond’s interest expense by more than 50%.
Scio Diamond completed work on a manufacturing expansion that more than doubled production capacity at its South Carolina facility.