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Glory Star New Media Reports Completion Of First Tranche Related To Deal To Buy Up To $10M Shares, Warrants At Price Of $3.50/Unit

Glory Star New Media Group Holdings Limited (NASDAQ:GSMG) ("Glory Star" or the "Company"), a leading digital media platform and content-driven e-commerce company in China, today announced that on

Benzinga · 09/01/2021 08:11

Glory Star New Media Group Holdings Limited (NASDAQ:GSMG) ("Glory Star" or the "Company"), a leading digital media platform and content-driven e-commerce company in China, today announced that on August 30, 2021, it completed the sale of $2,000,000 of its ordinary shares and warrants to purchase ordinary shares.  Each ordinary share and warrant were sold at a fixed combined purchase price of $3.50. The completion of the first tranche of $2,000,000 was pursuant to a subscription agreement entered into on August 25, 2021, with an institutional investor for the sale of up to 2,857,142 ordinary shares and warrants to purchase up to 2,857,142 ordinary shares for anticipated total gross proceeds of up to approximately $10,000,000.

The Company intends to use the net proceeds from the offering primarily for working capital and other general corporate purposes.

The offering was made pursuant to the Company's existing shelf registration statement on Form F-3 (File No. 333-248554), which was filed with the SEC on September 2, 2020, and declared effective by the SEC on September 14, 2020. The Company filed a prospectus supplement on August 26, 2021, related to the purchase of the first tranche of ordinary shares and warrants, and will file a prospectus supplement each time the institutional investor makes an additional tranche purchase. Once filed, the prospectus supplement and related filings will be available on the SEC's website at www.sec.gov and may also be obtained from the Company's website at www.ir.yaoshixinghui.com.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, nor may there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.