FlexShopper (FPAY) announced an update to its previously disclosed rights offering. FlexShopper shareholders who participated in the unit subscription that closed on January 10, 2025, are now eligible to participate in the Series A, B, and C rights. Details of which can be found in the body of this press release. As a result of the initial unit subscription, FlexShopper raised approximately $12M of proceeds, consisting of $9.4M in gross proceeds from the subscription and the conversion of $2.5M of the Company’s subordinated debt with NRNS Capital Holdings. The $9.4M in gross proceeds was used to pay down borrowings under FlexShopper’s credit agreement with Waterfall Asset Management. As a result of these actions, FlexShopper estimates that the initial unit subscription would have been approximately 15% accretive to pro-forma earnings per share for the 2024 third quarter.
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