GLOBAL MOFY AI LIMITED Announces $2.5M Private Placement Financing

Global Mofy AI Limited (the "Company" or "Global Mofy") (NASDAQ:GMM), a generative AI-driven technology solutions provider engaged in virtual content production and the development of 3D digital assets for use in the broader digital content industry, today announced that it has entered into a Securities Purchase Agreement (the "SPA") with certain non-U.S. investors (each individually, a "Purchaser", and collectively, the "Purchasers"). Pursuant to the SPA, the Company will sell and issue up to 5,000,000 units (each a "Unit", and collectively, the "Units") to the Purchasers in a private placement financing transaction (the "Offering") at an offering price of $0.50 per unit. Each Unit consists of (i) one Class A ordinary share, par value $0.000002 per share (the "Class A Ordinary Share") (or one pre-funded warrant to purchase one Class A Ordinary Share (the "Pre-Funded Warrant")), (ii) two warrants, each exercisable for one Class A Ordinary Share at an exercise price of $3.00 per share (each a "Ordinary Warrant", and collectively, the "Ordinary Warrants"). The exercise price and number of Class A Ordinary Share issuable upon exercise of the Ordinary Warrants are subject to adjustment as described in the Ordinary Share Purchase Warrant. The Ordinary Warrants will be exercisable upon issuance and will have a term of 5 years from the issuance date. The gross proceeds of the Offering are expected to be approximately $2.5 million, before the deduction of customary expenses.

The Company intends to use the net proceeds from the Offering, together with the Company's existing cash, cash equivalents, and marketable securities, to provide financing for its generative AI platform, general research and development, administrative expenses, talent acquisition, and working capital needs.