Summary by Moomoo AI
On May 28, 2024, Netcapital Inc., a digital private capital markets ecosystem, entered into agreements with certain investors holding Series A-2 warrants, originally issued on December 27, 2023. These investors agreed to exercise their warrants for 14,320,000 shares of common stock at a reduced price of $0.155 per share, down from the original $0.25. In return, Netcapital will issue new Series A-3 and A-4 warrants for the same number of shares. The transaction closed on May 29, 2024, with Netcapital receiving approximately $2.2 million in gross proceeds before expenses. The funds are intended for general corporate purposes. H.C. Wainwright & Co. served as the exclusive agent for the transaction, receiving fees and reimbursement for expenses. The shares involved in the exercise of the existing warrants were registered under an existing SEC registration statement, and Netcapital has committed to filing a registration statement for the resale of the new warrant shares. Additionally, the company has voluntarily reduced the exercise price of all outstanding Series A-2 warrants to $0.155 per share.