AgEagle Aerial Systems Inc. Announces Pricing of $6.5 Million Public Offering
Rhea-AI Summary
AgEagle Aerial Systems Inc. (NYSE American: UAVS) has announced the pricing of a $6.5 million public offering. The offering consists of 26,900,000 Units, each priced at $0.24 and including one share of common stock or one Pre-Funded Warrant, plus Series A and B warrants. The company plans to use the proceeds for repaying an outstanding note and general corporate purposes. Spartan Capital Securities, is acting as the sole placement agent. The offering is expected to close around October 1, 2024, subject to customary conditions. AgEagle, founded in 2010, is a provider of drone solutions for various industries including energy, construction, agriculture, and government sectors.
Positive
- Raising $6.5 million in capital through public offering
- Immediate exercisability of Pre-Funded Warrants
- Five-year expiration for Series A and B Warrants, providing long-term potential
- Funds to be used for debt repayment and working capital
Negative
- Potential dilution of existing shareholders due to new share issuance
- Offering price of $0.24 per Unit may be below current market price
- Additional warrants could lead to further dilution if exercised
News Market Reaction – UAVS
In the trading session that priced this news, UAVS declined 64.57%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Wichita, Kan., Sept. 30, 2024 (GLOBE NEWSWIRE) -- AgEagle Aerial Systems Inc. (NYSE American: UAVS) (“AgEagle” or the “Company”), an industry-leading provider of full stack flight hardware, sensors and software for commercial and government use, today announced the pricing of a public offering with gross proceeds to the Company expected to be approximately
The offering consists of 26,900,000 Units, each consisting of one (1) share of our common stock,
Aggregate gross proceeds to the Company are expected to be approximately
Spartan Capital Securities, LLC is acting as the sole placement agent for the offering. Duane Morris LLP. is acting as counsel to the Company. Manatt, Phelps & Phillips LLP is acting as counsel to Spartan Capital Securities, LLC.
The securities described above are being offered pursuant to a registration statement on Form S-1 (File No. 333-281897) previously filed with the U.S. Securities and Exchange Commission (“SEC”) on September 30, 2024, as amended, which became effective on September 30, 2024. The offering is being made only by means of a prospectus forming part of the effective registration statement. Copies of the preliminary prospectus and, when available, copies of the final prospectus, relating to the offering may be obtained on the SEC’s website located at http://www.sec.gov. Electronic copies of the final prospectus relating to the offering may be obtained, when available, from: Spartan Capital Securities, LLC, 45 Broadway, New York, NY 10006, at (212) 293-0123. Before investing in this offering, interested parties should read the prospectus in its entirety, which provides more information about the Company and such offering.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About AgEagle Aerial Systems Inc.
Through its three centers of excellence, AgEagle is actively engaged in designing and delivering best-in-class flight hardware, sensors and software that solve important problems for its customers. Founded in 2010, AgEagle was originally formed to pioneer proprietary, professional-grade, fixed-winged drones and aerial imagery-based data collection and analytics solutions for the agriculture industry. Today, AgEagle is a leading provider of full stack drone solutions for customers worldwide in the energy, construction, agriculture, and government verticals. For additional information, please visit our website at www.ageagle.com.
Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company’s product development and business prospects, and can be identified by the use of words such as “may,” “will,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “potential,” “should,” “continue” or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the securities laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.
AgEagle Aerial Systems Contacts
Investor Relations Email: UAVS@ageagle.com
Media Email: media@ageagle.com
