ShiftPixy Announces Pricing of $2.5 Million Offering
August 26 2024 - 7:00AM
Business Wire
ShiftPixy, Inc. (Nasdaq: PIXY) ("ShiftPixy" or the "Company"), a
Florida-based national staffing enterprise which designs, manages,
and sells access to a disruptive, revolutionary platform that
facilitates employment in the rapidly growing Gig Economy, today
announced the pricing of its "reasonable best efforts" offering of
2,403,847 common shares (or common share equivalents in lieu
thereof) together with series A warrants to purchase up to
2,403,847 common shares and series B warrants to purchase up to
2,403,847 common shares at an offering price of $1.04 per common
share and accompanying series A and B warrants. Each series A
warrant is exercisable upon receipt of shareholder approval for one
share of common stock at an exercise price of $1.04 per share and
will expire five years from the effective date of shareholder
approval. Each series B warrant is exercisable upon receipt of
shareholder approval for one share of common stock at an exercise
price of $1.04 per share and will expire two years from the
effective date of shareholder approval. Gross proceeds from the
offering, before deducting the placement agent’s fees and other
offering expenses, are expected to be approximately $2.5
million.
The closing of the offering is expected to occur on or about
August 27, 2024, subject to the satisfaction of customary closing
conditions. The Company intends to use the net proceeds from the
offering for general corporate purposes, including working
capital.
A.G.P./Alliance Global Partners is acting as the sole placement
agent for the offering.
A registration statement on Form S-1 (File No. 333-280566)
relating to the sale of these securities was declared effective by
the Securities and Exchange Commission (the “SEC”) on August 22,
2024. This offering is being made only by means of a prospectus. A
final prospectus relating to the offering will be filed with the
SEC and will be available on the SEC’s website at
http://www.sec.gov. Electronic copies of the prospectus may be
obtained, when available, from A.G.P./Alliance Global Partners, 590
Madison Avenue, 28th Floor, New York, NY 10022, or by telephone at
(212) 624-2060, or by email at prospectus@allianceg.com.
In connection with the offering, the Company has entered into an
agreement with an existing investor of the Company to reduce the
exercise price of outstanding warrants to purchase up to 1,403,417
shares of common stock that were issued in the Company's previous
offerings in July 2022, September 2022, July 2023, October 2023 and
March 2024 to $1.04 per share and extend the term such that the
July 2022, September 2022, July 2023, October 2023 and March 2024
warrants will expire on the date that is five years following the
date shareholder approval for the amendment is received, effective
upon the receipt of shareholder approval.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of
these securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or
jurisdiction.
About ShiftPixy
ShiftPixy is a disruptive human capital services enterprise,
revolutionizing employment in the Gig Economy by delivering a
next-gen platform for workforce management that helps businesses
with shift-based employees navigate regulatory mandates, minimize
administrative burdens and better connect with a ready-for-hire
workforce. With expertise rooted in management’s more than 25 years
of workers’ compensation and compliance programs experience,
ShiftPixy adds a needed layer for addressing compliance and
continued demands for equitable employment practices in the growing
Gig Economy.
Forward Looking Statements
Any statements contained in this press release that do not
describe historical facts may constitute forward-looking
statements. These forward-looking statements include, among other
things, statements regarding the anticipated use of proceeds from
the offering and the anticipated closing date of the offering.
Although such forward-looking statements are based upon what
management of the Company believes are reasonable assumptions,
there can be no assurance that forward-looking statements will
prove to be accurate. If any of the risks or uncertainties,
including those set forth below, materialize or if any of the
assumptions proves incorrect, the results of the Company, could
differ materially from the results expressed or implied by the
forward-looking statements we make. The risks and uncertainties
include, but are not limited to, risks associated with the nature
of the Company’s business model; the Company’s ability to execute
its vision and growth strategy; the Company’s ability to attract
and retain clients; the Company’s ability to assess and manage
risks; changes in the law that affect the Company’s business and
its ability to respond to such changes and incorporate them into
its business model, as necessary; the Company’s ability to insure
against and otherwise effectively manage risks that affect its
business; competition; reliance on third-party systems and
software; the Company’s ability to protect and maintain its
intellectual property; and general developments in the economy and
financial markets. These and other risks are discussed in the
Company’s filings with the SEC, including, without limitation, its
Annual Report on Form 10-K, and its periodic and current reports on
Form 10-Q and Form 8-K. The Company undertakes no obligation to
update forward-looking statements if circumstances or management's
estimates or opinions should change, except as required by
applicable securities laws. The information in this press release
shall not be deemed to be "filed" for the purpose of Section 18 of
the Securities Exchange Act of 1934, as amended, or otherwise
subject to the liabilities of that section, and will not be deemed
an admission as to the materiality of any information that is
required to be disclosed solely by Regulation FD. Further
information on these and other factors that could affect the
financial results of the Company, is included in the filings we
make with the SEC from time to time. These documents are available
on the "SEC Filings" subsection of the "Investor Information"
section of the Company’s website at https://ir.shiftpixy.com, or
directly from the SEC’s website at https://www.sec.gov.
Consistent with the SEC’s April 2013 guidance on using social
media outlets like Facebook and Twitter to make corporate
disclosures and announce key information in compliance with
Regulation FD, the Company is alerting investors and other members
of the general public that the Company will provide updates on
operations and progress required to be disclosed under Regulation
FD through its social media on Facebook, Twitter, LinkedIn and
YouTube. Investors, potential investors, shareholders and
individuals interested in the Company are encouraged to keep
informed by following us on Facebook, Twitter, LinkedIn and
YouTube.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240826862918/en/
INVESTOR CONTACT: InvestorRelations@shiftpixy.com
800.475.3655
ShiftPixy (NASDAQ:PIXY)
Historical Stock Chart
From Oct 2024 to Nov 2024
ShiftPixy (NASDAQ:PIXY)
Historical Stock Chart
From Nov 2023 to Nov 2024