Intrusion Inc. $7.5 Million Registered Direct Offering Announcement
Intrusion Inc., a company specializing in cyberattack prevention solutions, recently announced a significant development in its financial operations. They have entered into an agreement with a single institutional investor for the purchase of 653,000 shares of common stock at a price of $3.05 per share. Additionally, there are 1,806,016 prefunded warrants available for purchase, which can be used to buy up to 1,806,016 shares of common stock at a price of $3.0499 per prefunded warrant.
This privately negotiated registered direct offering is structured to provide Intrusion Inc. with approximately $7.5 million in gross proceeds. The prefunded warrants can be exercised at a minimal price of $0.0001 per share of common stock. The transaction is scheduled to conclude on or around January 7, 2025.
The company plans to allocate the net proceeds towards general corporate purposes. This may encompass various areas such as repaying existing debts, channeling funds into working capital and capital expenditures, exploring acquisitions, and making other strategic investments.
By converting Preferred Series A stock into common stock, along with utilizing funds from ATM programs and SEPA arrangements, Intrusion Inc. has positioned itself well in terms of financial stability. These actions assure that the company has enough capital to sustain operations not only throughout the fiscal year of 2025 but also for the future, eliminating the necessity of raising additional capital this year. This move underlines Intrusion Inc.’s commitment to its financial strength and long-term sustainability.
