Summary by Moomoo AI
Farmmi has entered into a securities purchase agreement with institutional investors on August 22, 2024, agreeing to sell 3,433,167 ordinary shares at $0.30 per share in a registered direct offering, along with Series A warrants to purchase an equal number of shares in a concurrent private placement. The total gross proceeds amount to approximately $1.03 million before deducting fees and expenses.The Series A warrants are immediately exercisable with an initial exercise price of $0.75 per share and will expire in 5 years. The warrants include adjustment provisions for stock splits, dividends, and certain dilutive issuances. Maxim Group LLC serves as the exclusive placement agent, receiving a 7.50% cash fee of the gross proceeds.The company and its officers have agreed to a lock-up period of up to six months following the purchase agreement date. The offering closed on August 26, 2024, with the company committing to file a resale registration statement within 30 days and achieve effectiveness within 60-90 days of closing.
