ParaZero Technologies, a leading aerospace firm specializing in safety systems for commercial drones and urban air mobility aircraft, has announced a significant financial milestone, disclosing today that it has successfully entered into a securities purchase agreement with select institutional investors, resulting in an influx of $5.1 million in gross cash proceeds. This figure is stated prior to the deduction of fees to the placement agent and other associated offering expenses.
In tandem with this development, ParaZero will issue a combined total of 4,636,364 units and pre-funded units. The latter will be available at the same purchase price, reduced by the pre-funded warrant exercise cost of $0.005. Each unit and pre-funded unit comprises one ordinary share (or pre-funded warrant) and one common warrant, with the latter being exercisable for one ordinary share at an exercise price of $1.10 per ordinary share. These common warrants will be available for exercise upon issuance and possess a term of 5.5 years from the date of issuance. It should be noted that the quantity of securities issued under the units is subject to potential adjustments, as delineated in the forthcoming Form 6-K report related to the offering.
The anticipated closing of this private placement is slated for approximately October 30, 2023, pending the fulfillment of customary closing conditions. Aegis Capital Corp. has been designated as the Exclusive Placement Agent for this offering.
The announcement of this purchase agreement, however, precipitated a decline in ParaZero Technologies’ stock performance. Over the past five days, the company’s stock experienced a decrease of 38.41%. Contrarily, over the past month, the stock demonstrated a notable increase of 73.42%. Over a three-month period, there was a decrease of 63.39%.
At the time of this publication, Parazero Technologies Ltd stock (PRZO) has witnessed a decline.
Parazero Technologies Ltd
Current Price: $1.31
Change : -0.46
Change (%): (-25.98%)
Volume: 5.2M
Source: Tomorrow Events Market Data
ParaZero Technologies Ltd. is a distinguished aerospace enterprise specializing in the development and implementation of cutting-edge autonomous parachute safety systems tailored for commercial drones, also referred to as unmanned aerial systems (UAS).
