Agrify Announces $25.9 Million Non-Brokered Private Placement
November 21 2024 - 6:00AM
Agrify Corporation (Nasdaq: AGFY) (“Agrify” or the “Company”), a
leading provider of branded innovative solutions for the cannabis
and hemp industries, today announced the Company has entered into
securities purchase agreements with institutional and accredited
investors in a non-brokered private placement priced at $22.30 per
share for aggregate proceeds of approximately $25.9 million. The
Company intends to use the proceeds from the private placement for
general corporate purposes, including, among other things, working
capital and business development. The private placement is expected
to close on November 21, 2024, subject to the satisfaction of
customary closing conditions. Benjamin Kovler, Chairman and Interim
Chief Executive Officer, participated in the private placement to
purchase 10,000 shares of common stock at a purchase price of
$38.76 in compliance with applicable Nasdaq requirements.
“This funding is a strong move for Agrify and our shareholders
as we were able to raise approximately $26 million in a
non-brokered deal (gross equals net),” said Chairman and Interim
CEO Ben Kovler. “We plan to allocate this capital into
opportunities within our circle of competence to benefit
stockholders. We are excited about the opportunity set and current
consumer trends in cannabis and hemp. The team continues to work
hard to close the previously announced Señorita transaction, and it
remains on track for closing at or around year end.”
Investors in the private placement will receive pre-funded
warrants to the extent any investor’s beneficial ownership of
Agrify common stock following the offering would exceed 4.99%. The
securities sold in the private placement have not been registered
under the Securities Act of 1933, as amended, or state securities
laws and may not be offered or sold in the United States absent
registration with the Securities and Exchange Commission (the
“SEC”) or an applicable exemption from such registration
requirements. A resale registration statement relating to the
common stock and the shares of common stock issuable upon the
exercise of the pre-funded warrants will be filed with the SEC
within forty-five days of the date when Agrify receives a demand
for such registration from the investors.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any securities in the private
placement. There shall not be any sale of these securities in any
state or jurisdiction in which such offering, sale, or solicitation
would be unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
About Agrify (Nasdaq: AGFY)
Agrify Corporation (“Agrify” or the “Company”) is a developer of
branded innovative solutions for the cannabis and hemp industries
in extraction, cultivation and more. Agrify’s proprietary
micro-environment-controlled Vertical Farming Units (VFUs) enable
cultivators to produce the highest quality products with unmatched
consistency, yield, and return on investment at scale. Agrify’s
comprehensive extraction product line, which includes hydrocarbon,
ethanol, solventless, post-processing, and lab equipment, empowers
producers to maximize the quantity and quality of extract required
for premium concentrates. For more
information, please visit Agrify at http://www.agrify.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995
concerning Agrify and other matters. All statements contained in
this press release that do not relate to matters of historical fact
should be considered forward-looking statements including, without
limitation, statements regarding future financial results,
potential growth opportunities, Agrify’s ability to deliver
solutions and services, and the ability to timely satisfy the
closing conditions and close the private placement, the use of
proceeds from the private placement, and the ability to close the
Señorita transaction on a timely basis or at all. In some cases,
you can identify forward-looking statements by terms such as “may,”
“will,” “should,” “expects,” “plans,” “anticipates,” “could,”
“intends,” “targets,” “projects,” “contemplates,” “believes,”
“estimates,” “predicts,” “potential” or “continue” or the negative
of these terms or other similar expressions. The forward-looking
statements in this press release are only predictions. We have
based these forward-looking statements largely on our current
expectations and projections about future events and financial
trends that we believe may affect our business, financial condition
and results of operations. Forward-looking statements involve known
and unknown risks, uncertainties and other important factors that
may cause our actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. You should carefully consider the risks and
uncertainties that affect our business, including those described
in our filings with the Securities and Exchange Commission (“SEC”),
including under the caption “Risk Factors” in our Annual Report on
Form 10-K filed for the year ended December 31, 2023 with the SEC,
which can be obtained on the SEC website at www.sec.gov. These
forward-looking statements speak only as of the date of this
communication. Except as required by applicable law, we do not plan
to publicly update or revise any forward-looking statements,
whether as a result of any new information, future events or
otherwise. You are advised, however, to consult any further
disclosures we make on related subjects in our public announcements
and filings with the SEC.
Contact
Agrify Investor RelationsIR@agrify.com(857) 256-8110
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