Benzinga | Mar 1, 2021 09:05AM EST

CLPS Incorporation Prices 2,666,666 Share Registered Direct Offering At $6/Share

HONG KONG, March 1, 2021 /PRNewswire/ -- CLPS Incorporation (NASDAQ:CLPS) ("CLPS" or "the Company"), announced today that it has entered into a securities purchase agreement on February 28, 2021 with certain accredited investors to purchase approximately $16.0 million worth of its common stock and warrants in a registered direct offering priced at-the-market under Nasdaq rules.

Under the terms of the securities purchase agreement, the Company has agreed to sell 2,666,666 shares of the Company's common stock and issue unregistered warrants to purchase up to an additional 2,666,666 shares of common stock in a concurrent private placement transaction. The warrants will be exercisable immediately upon the date of issuance and have an exercise price of $6.00. The warrants will expire 5.5 years from the date of issuance. The purchase price for one share of common stock and one corresponding warrant will be $6.00. The gross proceeds to the Company from the registered direct offering are estimated to be approximately $16.0 million before deducting the placement agent's fees and other estimated offering expenses. The registered direct offering is expected to close on or about March 3, 2021, subject to the satisfaction of customary closing conditions.