Ostin Technology to sell 9.09M shares at 55c in registered direct offering

Ostin Technology (OST) announced that it has entered into a securities purchase agreement with several investors for the purchase and sale of 9,090,908 Class A ordinary shares, par value $0.001 per share, of the company; and Class A ordinary share purchase warrants to purchase up to 90,909,080 Class A ordinary shares and up to 90,909,080 Class A ordinary shares issuable upon exercise of the warrants. Each Class A ordinary share is being sold together with two associated warrants, each to purchase one Class A ordinary share at a combined offering price of 55c per Class A ordinary share and associated warrants. The Warrants have an exercise price of 80c per Class A ordinary share, which will be immediately exercisable after issuance, and will expire two years from the date of issuance. The warrants may be exercised on an alternative basis after one-month anniversary after the issuance pursuant to which the holder may exercise the warrant for 0.9 times the number of Class A ordinary shares they would receive upon a standard exercise. Aggregate gross proceeds to the company in respect of the offering is expected to be approximately $5M, before deducting other offering expenses payable by the company. The offering was closed on April 15.