Benzinga | May 11, 2021 09:33AM EDT

Senmiao Technology Announces $6.5M Registered Direct Offering Of ~5.53M Shares

Senmiao Technology Limited ("Senmiao") (NASDAQ:AIHS), a financing and servicing company focused on the online ride-hailing industry in China as well as an operator of its own online ride-hailing platform, today announced that it has entered into a securities purchase agreement with certain institutional investors for a registered direct offering of approximately $6.5 million of its common stock, priced at-the-market under the Nasdaq rules at a price of $1.175 per share. In addition, the Company will issue certain warrants to the investors in this offering to purchase a total of 5,531,916 shares of common stock at a purchase price of $1.05 per share. The warrants have a term of five years and are exercisable immediately from the issue date.

The Company intends to use the net proceeds from the offering to further accelerate the Company's business plan and fund any additional working capital needs.

The offering is expected to close on or about May 13, 2021, subject to the satisfaction of customary closing conditions.

FT Global Capital, Inc. acted as the exclusive placement agent for the offering.

The common stock, warrants and the common stock issuable upon the exercise of the warrants being offered pursuant to the registered direct offering are being sold pursuant to a shelf registration statement on Form S-3 (File No. 333-230397), previously filed with the Securities and Exchange Commission (the "SEC") and declared effective on April 15, 2019. Such securities are being offered only by means of a prospectus. A prospectus supplement and the accompanying prospectus relating to and describing the terms of the registered direct offering will be filed with the SEC and will be available at www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or jurisdiction.

For further details of this transaction, please see the Form 8-K to be filed with the SEC.