Benzinga | May 10, 2021 12:34PM EDT

Borqs Raises $23M Via Institutional Debt For Order Procurement, 5G Project Investment

* Borqs Technologies Inc (NASDAQ: BRQS) raised $23 million from the sale of two-year 8% convertible notes of $15.3 million to institutional and individual investors as of May 5, 2021, and $7.7 million to the same investors in February and April.

* The conversion price of $0.972 per share was 90% of the closing price on the day effectiveness of registration declaration.

* Borqs also issued 11.7 million five-year warrants and 2.5 million five-year warrants with an exercise price of $2.222 and $1.540 per share.

* The offering proceeds will be utilized to procure orders from its existing and new customers this year, next-generation 5G product development, and investment into the Borqs Huzhou 5G Project for an R&D center and manufacturing facilities to be completed by the second calendar quarter of 2021.

* Price action: BRQS shares traded lower by 3.69% at $0.8995 on the last check Monday.