Damon Announces $30 Million Reg A+ Offering to Advance Its Personal Mobility Products and AI-Enabled Connected Vehicle Strategy

Rhea-AI Summary

Damon Inc. (OTCID: DMNIF) has launched a $30 million Regulation A+ equity offering to advance its electric motorcycle and AI-enabled connected vehicle technology. The offering consists of units priced at $0.10 each, comprising one Common Share and one Warrant exercisable at $0.12 for 3 years.

The company is evolving beyond manufacturing electric motorcycles to focus on its Damon I/O platform, a connected vehicle technology suite that can be licensed to other OEMs and fleet operators. With over 3,000 pre-orders for its electric motorcycles, Damon aims to generate multiple revenue streams through OEM licensing, commercial fleet solutions, consumer subscriptions, and AI-powered data services.

Positive

• Strong market validation with over 3,000 pre-orders for electric motorcycles
• Diversified revenue potential through OEM licensing, fleet solutions, and subscriptions
• Strategic pivot from manufacturing to high-margin technology licensing business
• Innovative Damon I/O platform creates competitive advantage in connected vehicle market

Negative

• Dilutive impact of $30M equity offering on existing shareholders
• Outstanding senior secured convertible debt requiring repayment
• Early-stage company competing against established OEMs
• Execution risk in transitioning from manufacturing to technology licensing

Insights

Financial Analyst

Damon's $30M Reg A+ offering fuels pivot from EV motorcycles to broader AI-enabled mobility platform with multiple revenue streams.

Damon's $30 million Regulation A+ offering represents a strategic pivot beyond manufacturing electric motorcycles toward becoming a technology platform company. The offering structure - units at $0.10 with attached warrants exercisable at $0.12 - suggests significant potential dilution but provides accessible entry for retail investors with a $1,000 minimum investment.

What's particularly noteworthy is Damon's evolution from hardware manufacturer to potential mobility ecosystem provider. While the company has 3,000 pre-orders for its electric motorcycles, the true value proposition appears centered on its Damon I/O connected vehicle platform, which they intend to license to other manufacturers and fleet operators. This represents a fundamental business model transformation toward higher-margin, recurring revenue streams rather than capital-intensive manufacturing.

The company's articulated multi-revenue strategy encompasses OEM licensing, commercial fleet solutions, consumer subscriptions, and AI-data services - diversifying potential income sources beyond direct vehicle sales. This approach resembles Tesla's strategy of leveraging vehicle hardware to develop broader technology ecosystems.

However, investors should note that a portion of proceeds will go toward repaying senior secured convertible debt, indicating existing financial obligations. Additionally, while the company presents an ambitious vision, execution capabilities remain unproven in a competitive landscape where established automakers and tech companies are investing heavily in connected vehicle technology.

Details of the offering can be found here Reg A+ Offering

VANCOUVER, BC, Sept. 17, 2025 /PRNewswire/ - Damon Inc. (OTCID: DMNIF) ("Damon" or the "Company"), a designer and developer of electric motorcycles and other personal mobility products that seek to empower the personal mobility sector through innovation, today announced the launch of its $30 million Regulation A+ equity offering. Net proceeds from the offering will be used to further develop Damon's personal mobility products, including advancement of its HyperSport Race electric motorcycle program and AI-enabled cloud platform – Damon I/O - designed to power the next generation of personal mobility products and services, along with repayment of senior secured convertible debt to the extent not converted, and working capital. Damon believes this offering presents an opportunity for the public to invest in a scalable, connected vehicle technology suite of products and services, focused on safety, data and intelligence, which Damon believes can transform the personal mobility industry. The Reg A+ offering is open to accredited investors and qualified non-accredited investors. A link to the Offering Circular, filed with the U.S. Securities and Exchange Commission, is provided above.

Overview of Damon's Regulation A+ Offering Terms:

• Unit offering: Each unit is offered at $0.10 per unit. Each unit consists of one Common Share and one Warrant to purchase one Common Share at an exercise price of $0.12 per share that will expire in 3 years.
  
  
• Bonus Units: Investment levels of $2,500 or higher receive bonus units in escalating amounts based on the investment amount.
  
  
• Minimum investment: Minimum investment is $1,000 for 10,000 units.

While Damon has over 3,000 pre-orders for its award-winning electric motorcycles, these vehicles serve as the primary showcase for the power of the Damon I/O platform. The company's business strategy is evolving beyond manufacturing vehicles to include licensing its vertically integrated hardware and software stack to other OEMs, commercial fleets, and technology partners.

"Damon is more than an electric motorcycle company; we are a technology company building a platform to redefine the entire personal mobility industry," said Dominique Kwong, CEO and Founder of Damon. "Designing safer personal mobility products is where we started, but we believe the Damon I/O connected vehicle platform will enable us to scale and offer solutions to other vehicle makers. We are inviting investors to help us build a connected ecosystem that makes every vehicle smarter and safer, whether it's a Damon vehicle or another maker's vehicle."

We believe our Damon I/O connected vehicle strategy will allow for multiple, high-margin revenue opportunities beyond vehicle sales:

• OEM Licensing: Offering a turnkey solution for manufacturers to fast-track their entry into the connected vehicle market with advanced safety and telematics.
• Commercial Fleet Solutions: Providing data, predictive maintenance, remote diagnostics, and risk modeling for logistics and last-mile delivery services.
• Consumer Subscriptions: Powering features like navigation, ride analytics, and the patented CoPilot™ 360° collision warning system.
• AI-Powered Data Services: Creating new opportunities for mobility planning, insurance partners, and emergency responders.

This B2B and B2C strategy positions Damon at the intersection of two key industries: Consumer EV Personal Mobility and Connected Vehicle Technology. The Damon I/O platform is designed to grow smarter as more Damon I/O powered vehicles hit the road, creating a powerful network effect that continuously expands its value and competitive advantage.

"No one else in the category is combining integrated safety, performance, and connected intelligence the way Damon is," continued Mr. Kwong. "Traditional OEMs are structured to build mechanical machines and struggle with deep software integration. We believe Damon I/O is the solution. It is a modular and extensible platform designed for partners seeking to modernize their fleets and offer the safer, smarter experiences that today's customers demand."

For more information about Damon's vision for a connected mobility future and to learn about the investment opportunity, please visit Invest.Damon.com

About Damon

Damon Inc. is a designer and developer of personal mobility products and technology solutions that integrate AI-enabled safety systems, smart electrification, and user-driven design to revolutionize sustainable transportation. Operating across four potential revenue verticals - Data Intelligence & Services, Engineering Services, Personal Mobility Products, and Special Projects – Damon believes it is positioned to capture a significant share of the $127B global two-wheeler market¹. The company distinguishes itself through its integrated ecosystem approach, combining advanced data analytics and engineering expertise, while seeking to enter into strategic partnerships with OEMs and Tier 1 suppliers. Damon emphasizes accessible mobility solutions while leveraging its proprietary AI-enabled safety systems and intelligent energy management technology to deliver superior performance and operational efficiency in the urban and business mobility space. For more information, please visit damon.com.

1 Source Fortune Business Insights (2025)

IMPORTANT INFORMATION AND RISK DISCLOSURE

The offering will be made only by means of an offering statement. An offering statement on Form 1-A relating to these securities has been filed with the U.S. Securities and Exchange Commission (the "SEC") and has become qualified. The securities offered by Damon are highly speculative. Investing in such securities involves significant risks. The investment is suitable only for persons who can afford to lose their entire investment. For additional information on Damon, the offering and any other related topics, please review the offering statement, including the final offering circular that forms a part of the offering statement (the "Offering Statement"), that can be found on the Company's EDGAR profile at www.sec.gov/edgar. Additional information concerning Risk Factors related to the offering, including those related to the business, government regulations, intellectual property and the offering in general, can be found in the section of the Offering Statement entitled "Risk Factors."

FORWARD LOOKING STATEMENTS

This press release, including any materials referenced herein, contains forward-looking information or forward-looking statements under applicable Canadian and U.S. securities laws (collectively, "forward-looking statements") that reflect current expectations and projections of Damon Inc. ("Damon") about its future development. When used in this press release, forward-looking statements can be identified by the use of words such as "can," "may," "allow" or by such words as "will," "intend," "believe," "estimate," "consider," "expect," "anticipate," and "opportunities" and similar expressions or variations of such words. Forward-looking statements in this press release include, but are not limited to, statements regarding the company's business strategies and initiatives, including its expected evolution into a connected mobility technology business, the expansion of the Damon I/O platform, and the development of new revenue sources. Forward-looking statements are, by their nature, not guarantees of Damon's future operational or financial performance and are subject to risks and uncertainties and other factors that could cause Damon's actual results, performance, prospects, or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. No representation or warranty is intended with respect to anticipated future results, or that estimates, or projections will be sustained.

In developing the forward-looking statements in this press release, we have applied several material assumptions, including the general business and economic conditions of the industries and countries in which Damon operates, and general market conditions. Many risks, uncertainties, and other factors could cause the actual results of Damon to differ materially from the results, performance, achievements, or developments expressed or implied by such forward-looking statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to, our history of losses, our ability to implement our growth strategy, generate revenue and achieve profitability, our limited operating history with recent acquisitions, our ability to obtain adequate financing as needed, our ability to continue as a going concern, our status as a foreign private issuer, impact of our recent delisting from Nasdaq, our ability to establish and sustain an active trading market on an over-the-counter market maintained by OTC Markets Group Inc., customer demand for or acceptance of our products and services, our ability to enter into strategic partnerships with OEMs and Tier 1 suppliers, the impact of competitive or alternative products, technologies, and pricing, emerging competition and rapidly advancing technology that may outpace our own, our ability to manufacture or distribute products and services and secure strategic supply, manufacturing, licensing and distribution arrangements, our ability to protect our intellectual property, our ability to protect user data and user information, impact of any changes in existing or future regulatory and tax regimes applying to our business, our ability to successfully consummate strategic transactions and integrate companies or technologies we acquire, our ability to attract and retain management and employees with specialized knowledge and technical skills, our ability to develop and maintain effective internal controls, general economic conditions and events and the impact they may have on us and our customers, including but not limited to escalating tariff and non-tariff trade measures imposed by the United States and other countries, increases in inflation rates and rates of interest, supply chain challenges, increased costs for materials and labor, cybersecurity threats, and conflicts such as those in Russia/Ukraine, Israel/Hamas and Iran, our success at managing the risks involved in the foregoing items, and other risk factors discussed in the Offering Statement, along with our periodic and current reports filed with the SEC and the British Columbia Securities Commission.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of the press release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, events may differ materially from current expectations. Damon disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required pursuant to applicable securities law. All forward-looking statements contained in the press release are expressly qualified in their entirety by this cautionary statement. 

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SOURCE DAMON Motors Inc.

FAQ

What are the terms of Damon's (DMNIF) $30M Regulation A+ offering?

The offering consists of units at $0.10 each, with each unit including one Common Share and one Warrant exercisable at $0.12 for 3 years. Minimum investment is $1,000 for 10,000 units.

How many pre-orders does Damon (DMNIF) have for its electric motorcycles?

Damon has secured over 3,000 pre-orders for its award-winning electric motorcycles.

What is Damon's (DMNIF) Damon I/O platform?

Damon I/O is an AI-enabled cloud platform designed to provide connected vehicle technology, safety features, and intelligent solutions for OEMs, commercial fleets, and consumers.

How will Damon (DMNIF) use the proceeds from the Reg A+ offering?

Proceeds will be used to develop personal mobility products, advance the HyperSport Race electric motorcycle program, enhance the Damon I/O platform, repay convertible debt, and provide working capital.

What are Damon's (DMNIF) revenue streams beyond vehicle sales?

Damon's revenue streams include OEM licensing, commercial fleet solutions, consumer subscriptions for features like navigation and collision warning, and AI-powered data services.