Gorilla Technology Group Inc. (“Gorilla”) (NASDAQ:GRRR), a global provider of AI-based edge video analytics, IoT technologies, and cybersecurity, today announced that it has entered into securities purchase agreements with certain institutional investors for the purchase and sale of 25,000 Series A convertible preference shares (the “Series A preference shares”) at a purchase price of $1,000 per share pursuant to a registered direct offering, resulting in total gross proceeds of approximately $25 million before deducting placement agent commissions and other estimated offering expenses. Each Series A preference share is convertible into ordinary shares of Gorilla at a conversion price of $1.25 per share. Along with the Series A preference shares, Gorilla further agreed to issue to the investors Series A ordinary share purchase warrants (the “Series A warrants”) to purchase up to an aggregate of 20,000,000 ordinary shares of Gorilla. The Series A warrants will have an exercise price of $1.50, will be exercisable immediately and will expire five years from the date of issuance. The closing of the offering is expected to occur on or about September 22, 2023, subject to the satisfaction of customary closing conditions.
Cantor Fitzgerald & Co. and A.G.P./Alliance Global Partners are acting as co-lead placement agents for the offering.
The gross proceeds to Gorilla from this offering are expected to be approximately $25 million, before deducting the placement agents’ fees and other offering expenses. Gorilla intends to use the net proceeds from the offering for working capital needs.
