Nova LifeStyle, Inc. Announces Pricing of $8.71 Million Best-Efforts Public Offering

Rhea-AI Summary

Nova LifeStyle (NASDAQ: NVFY), a U.S.-based furniture designer and marketer, has announced the pricing of a $8.71 million best-efforts public offering. The offering includes up to 9,522,393 shares of common stock priced at $0.915 per share, along with 19,044,786 warrants.

Each share comes with two warrants, exercisable immediately at $1.098 (120% of offering price) and expiring in five years. The offering is expected to close around September 4, 2025. The company plans to use proceeds for working capital, marketing, debt repayment, and capital expenditures. American Trust Investment Services is serving as the exclusive placement agent.

Positive

• Potential gross proceeds of $8.71 million to strengthen company's financial position
• Warrants provide additional future funding potential if exercised
• Proceeds will support multiple business needs including marketing and debt repayment

Negative

• Significant dilution for existing shareholders
• Offering price of $0.915 may indicate weak market position
• Additional dilution possible if warrants are exercised

LOS ANGELES, Sept. 03, 2025 (GLOBE NEWSWIRE) -- Nova LifeStyle, Inc. (NASDAQ: NVFY) (“Nova LifeStyle” or the “Company”), a U.S.-headquartered innovative designer and marketer of contemporary styled furniture, today announced the pricing of its best-efforts public offering of up to 9,522,393 shares of common stock (the “Common Stock”) and up to 19,044,786 warrants (the “Warrants”) to purchase Common Stock (including shares of Common Stock underlying warrants) at a public offering price of $0.915. Each share of Common Stock is being sold together with two Warrants, with each Warrant to purchase one share of Common Stock. Each Warrant is exercisable immediately with an exercise price equal to 120% of the offering price ($1.098), and expires on the fifth anniversary of the issuance date, subject to certain adjustments.

The offering is expected to close on or about September 4, 2025, subject to the satisfaction of customary closing conditions. Gross proceeds to the Company, before deducting placement agent’s fees and other offering expenses, are expected to be approximately $8.71 million, subject to increase based upon receipt of pending subscriptions at closing. The Company intends to use the net proceeds of this offering for working capital, marketing expenditures, repayment of short-term debt and capital expenditures.

American Trust Investment Services, Inc. is acting as exclusive placement agent to use its reasonable best efforts to solicit offers to purchase the Company’s securities in this offering.

The securities above are being offered pursuant to a registration statement on Form S-1, as amended, (File No. 333-287559) which was declared effective by the Securities and Exchange Commission (the “SEC”) on August 27, 2025. A final prospectus relating to the offering will be filed with the SEC and will be available on the SEC’s website at http://www.sec.gov. The offering is being made only by means of a prospectus forming part of the effective registration statement. Electronic copies of the prospectus relating to this offering, when available, may also be obtained from American Trust Investment Services, Inc., 910 S. El Camino Real, Suite 200, San Clemente, California 92672, by telephone at (949) 347-5222 or by email at IB@amtruinvest.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall 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 the registration or qualification under the securities laws of any such state or other jurisdiction.

About Nova LifeStyle

Nova LifeStyle, Inc. is a well-established, innovative designer and distributor of modern lifestyle furniture; primarily sofas, dining room furniture, cabinets, office furniture and related components, bedroom furniture and various accessories, in matching collections. Nova LifeStyle’s product lines include the Nova Brands and Diamond Sofa (www.diamondsofa.com). Nova’s products feature urban contemporary styles that integrate comfort and functionality, incorporating upscale luxury designs which appeal to middle and upper middle-income consumers in the USA, China, Southeast Asia, South America, and elsewhere in the world. Visit Nova LifeStyle’s website at www.NovaLifeStyle.com.

Forward-Looking Statements

This press release may contain 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, including, among others, our ability to fully resume our operations and remain financially healthy, our expected future growth prospects. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. In some cases, forward-looking statements can be identified by the use of forward-looking terms such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “should,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target,” “trajectory,” “focus,” “work to,” “attempt,” “pursue,” or the negative of these terms or other comparable terms. However, the absence of these words does not mean that the statements are not forward-looking. These forward-looking statements are based on certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances.

Investor Relations Contact
Andrew Barwicki
516-662-9461
andrew@barwicki.com
ir@novalifestyle.com

FAQ

What is the size and price of Nova LifeStyle's (NVFY) public offering in September 2025?

Nova LifeStyle is offering up to 9,522,393 shares at $0.915 per share, along with 19,044,786 warrants, for total gross proceeds of approximately $8.71 million.

How will Nova LifeStyle (NVFY) use the proceeds from its September 2025 offering?

The company will use the proceeds for working capital, marketing expenditures, repayment of short-term debt, and capital expenditures.

What are the terms of the warrants in Nova LifeStyle's (NVFY) September 2025 offering?

Each share comes with two warrants, exercisable immediately at $1.098 (120% of offering price) and expiring in five years.

Who is the placement agent for Nova LifeStyle's (NVFY) September 2025 offering?

American Trust Investment Services, Inc. is acting as the exclusive placement agent for the offering.

When will Nova LifeStyle's (NVFY) September 2025 public offering close?

The offering is expected to close on or about September 4, 2025, subject to customary closing conditions.