Duos Technologies Group, Inc. Announces Pricing of $40 Million Upsized and Oversubscribed Public Offering of Common Stock

Rhea-AI Summary

Duos Technologies Group (Nasdaq: DUOT) has announced the pricing of an upsized and oversubscribed public offering of 6,666,667 shares at $6.00 per share, raising approximately $40 million. The offering includes a 30-day option for underwriters to purchase up to 838,851 additional shares for over-allotments.

The offering attracted significant institutional investors, including a leading long-only mutual fund and global investment managers. The proceeds will be used to expand the Company's Edge Data Center business, execute on its $50 million revenue pipeline, and advance to Stage 2 of its EDC strategy, which involves deploying 65 additional Edge Data Centers.

Titan Partners Group is serving as the sole bookrunner, with the offering expected to close around August 1, 2025.

Positive

• Successful raise of $40 million through oversubscribed offering
• Strong institutional investor participation including long-only mutual funds
• Company now fully capitalized to execute $50 million revenue pipeline
• Strategic expansion with planned deployment of 65 Edge Data Centers

Negative

• Significant shareholder dilution through issuance of 6.67 million new shares
• Additional potential dilution through 838,851 share over-allotment option

Insights

Investment Banking Analyst

Duos secured $40M in oversubscribed offering at $6/share, fully funding $50M pipeline and 65 new Edge Data Centers.

This $40 million capital raise represents a significant financial milestone for Duos Technologies. The offering was not only upsized but oversubscribed, indicating strong investor demand at the $6.00 per share price point. With 6,666,667 shares being issued (potentially rising to 7,505,518 shares if the overallotment option is exercised), this represents substantial dilution but provides crucial growth capital.

The quality of participants is particularly noteworthy, with institutional backing from long-only mutual funds and global investment managers suggesting strong confidence in Duos' business model. This institutional participation typically indicates thorough due diligence and commitment to longer holding periods, potentially reducing future share price volatility.

The press release highlights a $50 million revenue pipeline that can now be fully capitalized, providing clear visibility into near-term growth. More strategically important is the funding for 65 additional Edge Data Centers, representing the company's transition to "Stage 2" of its EDC strategy. This expansion of infrastructure assets could transform Duos' revenue model toward more predictable, recurring streams typical of data center operations.

The use of proceeds is specifically targeted at expanding the Edge Data Center business, showing management's focused strategic direction rather than general corporate purposes. With an expected closing date of August 1, 2025, the company has secured this funding at a critical juncture to capitalize on accelerating customer demand in the edge computing market.

With over $40 million in expected cash on hand, Duos is now fully capitalized to fulfill its $50 million revenue pipeline and advance deployment of an additional 65 Edge Data Centers

Offering included primary participation from fundamental institutional investors, including a leading long-only mutual fund, several preeminent global investment managers, and existing investors

JACKSONVILLE, Fla., July 30, 2025 (GLOBE NEWSWIRE) -- Duos Technologies Group, Inc. (“Duos” or the “Company”) (Nasdaq: DUOT) a provider of adaptive, versatile and streamlined Edge Data Center (“EDC”) solutions tailored to meet evolving needs in any environment, today announced the pricing of its upsized and oversubscribed underwritten public offering of 6,666,667 shares of its common stock at a public offering price of $6.00 per share, before deducting underwriting discounts, commissions, and offering expenses. In addition, the Company has granted the underwriters a 30-day option to purchase up to an additional 838,851 shares to cover over-allotments at the public offering price.

With over $40 million in cash now expected on the balance sheet, Duos is now fully capitalized to fulfill its $50 million revenue pipeline and advance deployment of 65 additional Edge Data Centers. The offering included primary participation from fundamental institutional investors, including a leading long-only mutual fund, several preeminent global investment managers, and existing investors.

The net proceeds from the offering will be used to expand, accelerate, and further commercialize the Company’s Edge Data Center business. With this funding, the Company is now fully capitalized to execute on its $50 million revenue pipeline and advance to Stage 2 of its EDC strategy, which is the development and deployment of 65 edge data centers.

Titan Partners Group, a division of American Capital Partners, is acting as the sole bookrunner for the offering.

“We are excited to announce this offering and the strong support from both new and existing investors,” said Charles Ferry, CEO of the Company. “Their commitment reflects confidence in Duos’ future and the transformational growth we are now positioned to unlock, with a strong cash position and accelerating demand from our Edge Data Center customers.”

The offering is expected to close on or about August 1, 2025, subject to customary closing conditions.

The offering is being made pursuant to a shelf registration statement on Form S-3 (File No. 333-272603) filed with the Securities and Exchange Commission (“SEC”) on June 12, 2023, and declared effective by the SEC on June 21, 2023, and a registration statement on Form S-3 filed pursuant to Rule 462(b) of the Securities Act of 1933, as amended, was filed with the SEC and became effective on July 30, 2025.

A preliminary prospectus supplement and accompanying prospectus relating to the offering have been filed with the SEC and are available on the SEC’s website at www.sec.gov. A final prospectus supplement will be filed with the SEC. Copies of the final prospectus supplement and accompanying prospectus relating to the offering, when available, may also be obtained by contacting Titan Partners Group LLC, a division of American Capital Partners, LLC, 4 World Trade Center, 29th Floor, New York, NY 10007, by phone at (929) 833-1246 or by email at prospectus@titanpartnersgrp.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities nor will there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

About Duos Technologies Group, Inc.

Duos Technologies Group, Inc. (Nasdaq: DUOT), based in Jacksonville, Florida, through its wholly owned subsidiaries, Duos Technologies, Inc., Duos Edge AI, Inc., and Duos Energy Corporation, designs, develops, deploys and operates intelligent technology solutions for Machine Vision and Artificial Intelligence (“AI”) applications including real-time analysis of fast-moving vehicles, Edge Data Centers and power consulting. For more information, visit www.duostech.com, www.duosedge.ai and www.duosenergycorp.com.

Forward-Looking Statements
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things our plans, strategies and prospects -- both business and financial. Although we believe that our plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Many of the forward-looking statements contained in this news release may be identified by the use of forward-looking words such as "believe," "expect," "anticipate," "should," "planned," "will," "may," "intend," "estimated," and "potential," among others. Any statements other than statements of historical fact contained herein, including statements as to the completion of the offering, the satisfaction of customary closing conditions related to the offering and the intended use of net proceeds from the offering, are forward-looking statements. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this news release include market conditions and those set forth in reports or documents that we file from time to time with the United States Securities and Exchange Commission. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law. All forward-looking statements attributable to Duos Technologies Group, Inc. or a person acting on its behalf are expressly qualified in their entirety by this cautionary language.

This press release was published by a CLEAR® Verified individual.

Contacts
Corporate
Fei Kwong
Director, Corporate Communications
Duos Technologies Group, Inc. (Nasdaq: DUOT)
904-652-1625
fk@duostech.com

FAQ

How much did Duos Technologies (DUOT) raise in their July 2025 public offering?

Duos Technologies raised $40 million through an offering of 6,666,667 shares at $6.00 per share, with an additional over-allotment option for up to 838,851 shares.

What will Duos Technologies use the $40 million offering proceeds for?

The proceeds will be used to expand their Edge Data Center business, execute on their $50 million revenue pipeline, and advance the deployment of 65 additional Edge Data Centers.

Who participated in Duos Technologies' July 2025 public offering?

The offering attracted fundamental institutional investors, including a leading long-only mutual fund, several preeminent global investment managers, and existing investors.

When will Duos Technologies' public offering close?

The offering is expected to close on or about August 1, 2025, subject to customary closing conditions.

Who is the bookrunner for Duos Technologies' public offering?

Titan Partners Group, a division of American Capital Partners, is acting as the sole bookrunner for the offering.