Bit Brother Limited Closes Previously Announced $22.5 Million Registered Direct Offering

Rhea-AI Summary

Bit Brother Limited (NASDAQ: BTB) announced the closing of a registered direct offering on July 20, 2021, raising $22.5 million by issuing 15 million ordinary shares and warrants. The shares were priced at $1.50 each, with warrants exercisable at the same price and maturing in five years. Maxim Group LLC served as the placement agent for the offering. This funding may support the company's new ventures into blockchain technology and cryptocurrency mining through its subsidiary, Hunan Bit Brother Holding Limited.

Positive

• Raised $22.5 million through direct offering to support blockchain and cryptocurrency initiatives.

Negative

• Issuance of new shares may lead to shareholder dilution.

CHANGSHA, China, July 20, 2021 /PRNewswire/ -- Bit Brother Limited ("Bit Brother, " "We" or the "Company") (NASDAQ: BTB), announced today the closing on July 20, 2021 of its previously announced registered direct offering of 15 million ordinary shares and warrants to purchase 15 million ordinary shares at a purchase price of $1.50 per share for gross proceeds of $22.5 million. The warrants are exercisable immediately upon the date of issuance and have an exercise price of $1.50. The warrants will expire five years from the date of issuance.

Maxim Group LLC ("Maxim") acted as sole placement agent for this offering.

The securities described above are being offered by the Company pursuant to a shelf registration statement on Form F-3 (File No. 333-256628) filed with the Securities and Exchange Commission (the "SEC") dated May 28, 2021, as amended on June 3, 2021 and declared effective on June 8, 2021. A prospectus supplement related to the offering has been filed with the SEC and is available on the SEC's website at http://www.sec.gov. Copies of the prospectus supplement relating to the offering may be obtained by contacting: Maxim Group LLC, 300 Park Avenue, 16^th Floor, New York, NY 10022, by telephone: at (212) 895-3745.

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 such state or jurisdiction.

About Bit Brother Limited

Bit Brother Limited (formerly known as Urban Tea, Inc.) was incorporated in the British Virgin Islands as a company with limited liability on November 28, 2011. Our business currently consists of the distribution and retail of specialty tea products. We have recently decided to start operations in the business of blockchain technology and cryptocurrency mining. We anticipate utilizing our newly formed subsidiary Hunan Bit Brother Holding Limited to conduct research and development of blockchain-based software and applications and the commercialization of such applications, as well as cryptocurrency mining. For more information, please visit: http://ir.h-n-myt.com/investor.  

Forward-Looking Statements Disclaimer

This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.

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SOURCE Bit Brother Limited

FAQ

What is the purpose of the $22.5 million offering by Bit Brother Limited (BTB)?

The funds from the offering are intended to support Bit Brother's expansion into blockchain technology and cryptocurrency mining.

When did Bit Brother Limited close its registered direct offering?

Bit Brother Limited closed its registered direct offering on July 20, 2021.

What is the exercise price of the warrants issued by Bit Brother Limited?

The exercise price of the warrants is $1.50 per share.

How many shares and warrants did Bit Brother Limited issue in its recent offering?

Bit Brother Limited issued 15 million ordinary shares and 15 million warrants in its recent offering.

Who acted as the placement agent for Bit Brother Limited's offering?

Maxim Group LLC acted as the sole placement agent for the offering.