Energous reports registered direct offering, warrant exercise for $5M

Energous (WATT) announced that it has entered into a definitive agreement for the purchase and sale of 585,347 shares of its common stock and warrants to purchase up to 585,347 shares of common stock, at an offering price of $7.92 per share of common stock and accompanying warrant in a registered direct offering priced at-the-market under Nasdaq rules. The warrants will have an exercise price of $7.79 per share, will be exercisable immediately upon issuance and will expire five years following initial date of issuance. In addition, the company concurrently announced the entry into a definitive agreement for the immediate exercise of certain outstanding warrants of the Company to purchase an aggregate of 47,764 shares of the company’s common stock originally issued by the company in March 2023 and February 2024 and having exercise prices of $6.7595 and $55.20 per share, respectively. The 13,750 warrants issued in March 2023 will be exercised at the current exercise price of $6.7595 and the 34,014 warrants issued in February 2024 will be exercised at a reduced exercise price of $7.79 per share. As consideration for the exercise of such existing warrants for cash, the company will issue new unregistered warrants to purchase up to an aggregate of 47,764 shares of common stock at an exercise price of $7.79 per share at a purchase price of $0.125 per warrant in a private placement priced at-the-market under Nasdaq rules. The closing of the offering and the concurrent warrant exercise is expected to occur on or about September 11, 2025, subject to the satisfaction of customary closing conditions. Rodman & Renshaw, LLC and H.C. Wainwright & Co. are acting as the exclusive placement agents for the offering and the warrant exercise. The aggregate gross proceeds to the company from the offering and the warrant exercise are expected to be approximately $5M, before deducting the placement agents’ fees and other offering expenses payable by the Company. The company intends to use the net proceeds from the offering for working capital and general corporate purposes.