Trust Stamp Announces Pricing of Registered Direct Offering and Warrant Inducement, Priced At-The-Market, for Aggregate Gross Proceeds of $2.0 Million

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[{"type":"text","content":"Atlanta, GA, Sept. 03, 2024 (GLOBE NEWSWIRE) -- Trust Stamp (Nasdaq: IDAI), the Privacy-First Identity Company™ providing AI-powered software used globally across multiple sectors, today announced that it has entered into a securities purchase agreement with a single institutional investor to purchase 1,432,399 shares of common stock (or pre-funded warrants in lieu thereof) in a registered direct offering priced at-the-market under Nasdaq rules. In a concurrent private placement, the Company also agreed to issue and sell unregistered warrants to purchase up to an aggregate of 2,864,798 shares of common stock. The combined effective offering price for each share of common stock (or pre-funded warrant in lieu thereof) and accompanying warrant is $0.3223. The private placement warrants will be exercisable upon receipt of shareholder approval, will expire five years from the initial exercise date and will have an exercise price of $0.3223 per share. The Company has also entered into a warrant inducement agreement with the investor to exercise certain outstanding warrants that the Company issued on June 5, 2023 (as amended on December 20, 2023) and December 20, 2023. Pursuant to the warrant inducement agreement, the investor has agreed to exercise outstanding warrants to purchase an aggregate of 4,773,030 shares of the Company's common stock at an amended exercise price of $0.3223. In consideration for the immediate exercise of the warrants, the Company also agreed to issue to the investor unregistered warrants to purchase an aggregate of 9,546,060 shares of the Company's common stock. These warrants will have an exercise price of $0.3223 per share, will be exercisable upon receipt of shareholder approval and will expire five years from the initial exercise date. The combined gross proceeds to the Company from the registered direct offering, concurrent private placement and warrant inducement are estimated to be approximately $2.0 million before deducting the placement agent’s fees and other estimated offering expenses payable by the Company. The offering is expected to close on or about September 5, 2024, subject to the satisfaction of customary closing conditions. The Company intends to use net proceeds from the sale of securities in the registered direct offering, private placement, and warrant exercise for working capital, capita...

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