Energous Corporation (NASDAQ: WATT)’s stock price surged by 31.96% to reach $2.56 during the latest trading session thanks to a strategic move.
An institutional investor signed a securities purchase agreement with the company, resulting in the sale of 1,020,409 shares of common stock and warrants for the same share amount.
A registered direct offering, compliant with Nasdaq regulations, this deal was priced at $1.96 per share and included warrants with an exercise price of $1.84 per share over a five-year period.
The transaction, slated to close around February 20, 2024, pending customary closing conditions, underscores a strategic maneuver poised to fortify Energous Corporation’s position in the market. Roth Capital Partners assumes the role of the exclusive placement agent in facilitating this transformative initiative.
Energous anticipates garnering roughly $2.0 million in gross proceeds from this transaction, earmarked for diverse corporate endeavors such as working capital, research and development, potential acquisitions, regulatory endeavors, and business development ventures.
In parallel, Energous unveiled advancements in its collaboration with WiGL Inc to propel the commercialization of WiGL’s wireless-powered IoT products. The partnership reached a significant milestone, securing Federal Communication Commission (FCC) compliance for WiGL’s touchless Wireless Power Transfer (tWPT) product.
Moreover, the final product design meets UL product safety standards, underscoring a pivotal accomplishment. Funded by the Air Force Research Lab at the U.S. Department of Defense (DoD) in 2022, the project has entered its second phase under a multiyear contract with the U.S. DoD.
The integrated solution, merging Energous PowerBridge transmitters and WiGL’s tWPT networks, underwent rigorous testing and certification, culminating in recent FCC certification. Energous also delivered its PowerBridges to WiGL’s integration partner, Guinn Partners, for comprehensive system integration, a significant stride towards mass-producing the joint tWPT solution.
Energous (WATT) recent moves underscore its dedication to advancing wireless power technology and broadening its market footprint through astute partnerships and financial maneuvers.
