Smart Powerr Corp. Enters into Securities Purchase Agreement with Purchasers for Direct Offering

Smart Powerr Corp. recently announced that it has entered into a Securities Purchase Agreement on December 25, 2024, with certain purchasers. The agreement entails the issuance and sale of 900,000 shares of common stock, priced at $0.62 per share, along with pre-funded warrants to purchase up to 2,340,000 shares of common stock in a registered direct offering.

According to the agreement, the Purchase Price per share is set at $0.62, while the Purchase Price for each Pre-Funded Warrant is $0.619. The Pre-Funded Warrants will be immediately exercisable upon issuance and will expire upon full exercise. Notable terms of the agreement include a restriction on issuing securities for seven days post the agreement’s execution, indemnification of investors in specific circumstances, and granting purchasers a right of participation in future share offerings within thirty days.

The Offering is conducted under a shelf registration statement (No. 333-281639) on Form S-3, declared effective by the U.S. Securities and Exchange Commission on August 29, 2024, and a related prospectus supplement filed on December 30, 2024. Net proceeds from the Offering, estimated at approximately $1,940,800 assuming full exercise of the Pre-Funded Warrants, will be allocated towards working capital and general corporate purposes.

The purpose of the Pre-Funded Warrants is to enable purchasers to invest in Smart Powerr Corp. without exceeding stipulated ownership restrictions. Each Pre-Funded Warrant is exercisable for one share of common stock at an exercise price of $0.001 per share. Investors with ownership limitations of 4.99% have opted for this investment structure.

The Securities Purchase Agreement and form of Pre-Funded Warrants are detailed in Exhibits 10.1 and 4.1 of the Current Report on Form 8-K, respectively. These documents provide comprehensive information on the rights and obligations under the agreement that supplement the presented descriptions.

Alongside the announcement, a list of financial statements and exhibits was detailed, including the form of Pre-Funded Warrants and Securities Purchase Agreement. The report was authorized and signed by Guohua Ku, Chief Executive Officer, and Chairman of the Board of Smart Powerr Corp. on December 31, 2024.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Smart Powerr’s 8K filing here.

Smart Powerr Company Profile

Smart Powerr Corp. engages in the waste energy recycling business in China. The company provides energy saving and recovery facilities for various energy intensive industries; waste energy recycling systems for use in nonferrous metal plants; and clean-technology and energy-efficient solutions to reduce air pollution and energy shortage problems.