Summary by Moomoo AI
Asset Entities has completed the second closing of its Series A Convertible Preferred Stock financing, receiving additional gross proceeds of $1.5M from an institutional investor on July 29, 2024. This closing brings the total transaction value to $3M, following the initial $1.5M closing on May 24, 2024.The Series A Preferred Stock has an initial stated value of $10,000 per share and is convertible into Class B Common Stock at an initial conversion price of $3.75, subject to alternate conversion rates. In connection with the second closing, the Company paid Boustead Securities a 7% fee plus 1% expense allowance, totaling $120,000, and issued them a warrant to purchase 30,800 shares of Class B Common Stock at $3.75 per share.CEO Arshia Sarkhani stated that the transaction will provide adequate capital for general corporate purposes and support the company's strategic initiatives, including potential acquisitions in the Discord and social media space. The company specializes in social media marketing and content delivery services across various platforms including Discord, TikTok, Instagram, and X.
