Cemtrex announces pricing of $10M upsized underwritten public offering

Cemtrex announced the pricing of a firm commitment underwritten public offering with gross proceeds to the Company expected to be approximately $10 million, before deducting underwriting discounts and other estimated expenses payable by the Company. The offering was upsized from $9 million. The base offering consists of 11,764,705 Common Units or Pre-Funded Units, each consisting of one share of common stock or one Pre-Funded Warrant, one Series A Warrant to purchase one Common Share at an exercise price of $0.85 per share or pursuant to an alternative cashless exercise option, which warrant will expire two-and-a-half years from the closing date of this offering and one Series B Warrant to purchase one Common Share at an exercise price of $0.85 per share, which warrant will expire on the five-year anniversary of the closing date of this offering. The purchase price of each Common Unit is $0.85, and the purchase price of each Pre-Funded Unit is $0.849. The Pre-Funded Warrants will be immediately exercisable and may be exercised at any time until all the Pre-Funded Warrants are exercised in full. The Company intends to use the net proceeds from this offering to conduct operations, increase marketing efforts, investment in existing business initiatives and products, and for the partial repayment of indebtedness. The Company may also use a portion of the net proceeds of this offering to acquire or invest in complementary businesses, products, or technologies, or to obtain the right to use such complementary technologies. In addition, the Company has granted Aegis Capital Corp. a 45-day option to purchase additional Common Shares and/or Warrants, representing up to 15% of the number of securities sold in the offering, solely to cover over-allotments, if any. The closing of the offering is expected to occur on May 3, 2024, subject to customary closing conditions. Aegis Capital Corp. is acting as the sole book-running manager for the Offering. The Doney Law Firm is serving as counsel to the Company for the offering. Kaufman & Canoles, P.C. is serving as counsel to Aegis Capital Corp. for the offering.