Water treatment technology firm OriginClear Inc. is moving its corporate headquarters from Los Angeles to its manufacturing site in McKinney.
Riggs Eckelberry, the company’s CEO, said its California team is now increasingly virtual while its product development and manufacturing takes place at its East University Drive site.
“We have enjoyed our stay at the La Kretz Campus of the Los Angeles Cleantech Incubator complex, including its extraordinary prototyping resources and its dedicated team,” Eckelberry said in a statement.
The company will keep an administrative and financial office in downtown Los Angeles.
OriginClear, founded in 2007 by Eckelberry and his younger brother, Nicholas, started as an over-the-counter publicly traded company called OriginOil. It originally focused growing and harvesting algae for conversion into biofuel.
But the 2008 collapse in oil prices made biofuels economically unattractive, and the Eckelberry brothers switched gears into water treatment, developing a technology that could remove algae and other impurities, according to the Los Angeles Business Journal.
After several licensing deals failed to achieve the hoped-for revenue streams or pull the company out of its penny-stock status, OriginClear bought a profitable McKinney water treatment firm, Progressive Water Treatment Inc., in 2015, the Business Journal reported. Progressive’s 12,400-square-foot facility became OriginClear’s manufacturing center.
OriginClear said earlier this month that the U.S. Securities and Exchange Commission approved its plan to sell $19 million in preferred stock at $25 a share.
In its investor presentation, the company touts its ability to turn waste water from fracking operations into drinkable water. It includes a promotional video showing inventor Nicholas Eckelberry drinking water treated with its patented system.
OriginClear has a history of operating losses, and its debt totaled $88 million on Sept. 30, 2019, according to regulatory filings.
“Our ability to continue as a going concern is dependent upon raising capital from financing transactions and future sales,” the company said in describing risk factors for investors.