Business
Empery Digital Announces $25 Million Registered Direct Offering
Accretive Capital Raise at a Premium to NAV Highlights Significant Shareholder Conviction in Empery Digital's Initiatives to Drive Shareholder Value Company
About this update from Empery Digital Inc.
[{"type":"text","content":"\nAccretive Capital Raise at a Premium to NAV Highlights Significant Shareholder Conviction in Empery Digital's Initiatives to Drive Shareholder Value\n\n\nCompany Committed to Reducing Outstanding Debt Levels and Optimizing Balance Sheet to Continue Decreasing Discount to NAV\n\n\nCompany Has Repurchased Approximately 22.4 Million Shares Under $200 Million Repurchase Program\n\n\n AUSTIN, Texas--(BUSINESS WIRE)--\nEmpery Digital Inc. (NASDAQ: EMPD) (the “Company” or “Empery Digital”) today announced that it has entered into a definitive agreement with a current institutional investor for the sale of 4,638,219 shares of common stock (or pre-funded warrants in lieu thereof) and 4,638,219 accompanying warrants to purchase shares of common stock, at a combined offering price of $5.39 per share (or pre-funded warrant) and accompanying warrant, in a registered direct offering (the “Offering”). This price represents 103% of NAV at the time of signing.\n\n\nThe warrants will have an exercise price of $6.27 per share, will be exercisable immediately, and will expire four years following the date of issuance. The closing of the Offering is expected to occur on or about March 24, 2026, subject to the satisfaction of customary closing conditions.\n\n\nThe Company intends to use the net proceeds from the Offering, in addition to cash on hand, to reduce outstanding debt by approximately $40 million through the full repayment of the $50 million outstanding Repo Facility and an incremental draw down of approximately $10 million on the currently outstanding $100 million credit facility with Two Prime.\n\n\n“This accretive capital raise at a premium to our NAV represents an important vote of confidence from an existing shareholder in our long-term vision and approach to generating value for all shareholders,” said Ryan Lane, Co-CEO of Empery Digital. “We remain committed to leveraging capital markets and our existing balance sheet to maximize value for all shareholders through opportunistic capital raises at share prices that represent a premium to our NAV and repurchases at share prices that represent a discount to our NAV.”\n\n\nThe Company did not engage any placement agent in connection with the Offering and therefore will not pay any placement fees.\n\n\nShare Repurchase Update\n\n\nAs of March 20, 2026, the Company has repurchased 22,352,0...