has announced the pricing of a private placement with certain institutional investors. A NASDAQ-listed marketplace for self-drive car sharing, Zoomcar expects an aggregate gross cash proceeds of $9.15 million, before deducting fees and other offering expenses payable by the company.
Zoomcar said it plans to use the net proceeds to repay $3.6 million of outstanding debt to certain institutional creditors and for general corporate purposes and working capital. It also plans to issue an aggregate of around 2,137,850 units, with each unit being sold at $4.28 per unit.
Every unit will have a common share or a pre-funded warrant, two Series A warrants that can be converted into two shares at $4.03 apiece, and one Series B warrant at an exercise price of $0.0001 to buy shares that will be decided on the reset date.
The Series A and Series B warrants can be converted after the company gets shareholders’ approval. The Series A warrants will have a term of 5 years and the Series B warrants are exercisable until exercised in full, it added.
The Series A warrant conversion price and the number of common shares to be issued will be subject to certain adjustments on the reset date, considering any potential future stock splits or reverse splits, the company said.
The private placement is expected to close on November 6, with Aegis Capital acting as the Exclusive Placement Agent for the private placement.
