Expion360 reports closing of $2.6M registered direct offering, private placement

Expion360 (XPON) announced the closing of its previously announced registered direct offering and concurrent private placement with institutional investors. The company issued shares of common stock and pre-funded warrants in a registered direct offering. In a concurrent private placement, the company also issued to the same investors warrants to purchase common stock. Aggregate gross proceeds to the company from both transactions were approximately $2.6M.The transactions closed on January 3, 2025. The transactions were priced at the market under Nasdaq rules. The transactions consisted of the sale of 1,048,386 shares of common stock or Pre-Funded Warrants to purchase one share of common stock, each of which was sold together with one Warrant to purchase one share of Common Stock per Warrant at an exercise price of $2.36. The offering price per Share was $2.48. The Pre-Funded Warrants are immediately exercisable and may be exercised at any time until exercised in full. For each Pre-Funded Warrant sold in the offering, the number of Shares in the offering will be decreased on a one-for-one basis. The company expects to use the net proceeds from the offerings, together with its existing cash, for general corporate purposes and working capital. The company also intends to use $500,000 of the net proceeds from the offering to satisfy a portion of certain amounts owed to the company’s Series A warrant holders pursuant to the terms of such warrants. Aegis Capital Corp. acted as exclusive placement agent for the offerings. Stradling Yocca Carlson & Rauth LLP acted as counsel to the company. Kaufman & Canoles, P.C. acted as counsel to Aegis Capital Corp.