Creatd is Pleased to Announce the Approval and Effectiveness of its Form S-1 Registration Statement

Rhea-AI Summary

Creatd, Inc. (Nasdaq: CRTD) announced the effective registration of its S-1 statement by the SEC on July 15, 2022. Shareholders of record as of July 29, 2022, can participate in a $40 million Rights Offering aimed at enhancing the company's financial position. The offering will enable rights holders to purchase units at $2.00, which include common stock and warrants. If fully subscribed, the offering could significantly boost revenues by 10x to 20x over the next 12-18 months and help achieve EBITDA breakeven.

Positive

• SEC approval of S-1 registration paves the way for financial offering.
• $40 million Rights Offering could dramatically increase revenues by 10x to 20x.
• Offering includes units with common stock and warrants, attracting investor interest.

Negative

• None.

• The Company's S-1 registration statement will be effective at 4:45 PM ET on July 15, 2022.
• All shareholders of record as of the July 29th Record Date will be eligible to participate in the Rights Offering.
• Company releases new investor presentation, "Creatd 2022 Growth Capital Expansion Plan & Rights Offering."

NEW YORK, July 15, 2022 /PRNewswire/ -- Creatd, Inc. (Nasdaq CM: CRTD) ("Creatd" or the "Company"), a creator-first holding company and the parent company of Vocal, today announced that the Securities and Exchange Commission ("SEC") has declared the Company's registration statement on Form S-1 (File No. 333-265251) effective as of 4:45 PM ET on July 15, 2022).

In connection with its upcoming Rights Offering, the Company has unveiled an updated investor presentation, which can be accessed at the following link: https://creatd.com/presentation.

The Company has confirmed the following updated calendar of dates in connection with the Rights Offering:

Friday, July 15, 2022	Form S-1 Effectuation at 4:45 PM ET
Thursday, July 21, 2022	Creatd's 2022 Investor Day – Investor Day presentation to be made available for online access at 4:00 PM ET
Wednesday, July 27, 2022	Ownership Date – Securities must be acquired by market close of 4:00 PM ET in order to be considered a shareholder of record on the Record Date
Friday, July 29, 2022	Record Date – Cutoff date that determines the eligibility of shareholders to receive Rights entitlements
Wednesday, August 8, 2022	Subscription Period Begins – Shareholders can start investing in Rights Offering at 9:00 AM ET
Wednesday, August 22, 2022	Subscription Period Ends – 5:00 PM ET unless extended at the Company's sole discretion

Commented Creatd's Founder and Executive Chairman, Jeremy Frommer, "With this approval, we are now closing in on our most important financial offering as a company since our Uplisting in September of 2020. As I have previously said, Creatd's expansion has reached its moment of inflection. The $40 Million Rights Offering will allow Creatd's current and future shareholders to purchase units consisting of common stock and warrants. If the rights offering is fully subscribed, and $40MM is raised, the offering could drive between a 10x – 20x increase in revenues over the next 12 to 18 months and accelerate our path to EBITDA breakeven. On top of that, if all warrants underlying the units are exercised, the Company would receive an additional $180MM."

The registration statement relates to the issuance of two subscription rights for each share of common stock or share which may be acquired via conversion or exercise of preferred stock, warrants, or options. Each subscription right would entitle the holder to purchase one Unit at a subscription price of $2.00 per Unit. Each Unit would consist of: (i) one share of common stock, (ii) one publicly tradable 5-year warrant exercisable for $3 per share, and (iii) one publicly tradable 5-year warrant exercisable for $6 per share. The Company wishes to clarify that both warrants will be publicly tradable. 

The proposed Rights Offering will include an over-subscription privilege, which will entitle each rights holder that exercises in full their basic subscription privilege the right to purchase additional Units that remain unsubscribed. The availability of basic subscription and over-subscription privilege will be subject to certain terms and conditions, including pro-rata adjustments (if any), to be set forth in the offering documents.

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

About Creatd

Creatd, Inc. (Nasdaq CM: CRTD) is a company with a mission to provide economic opportunities to creators and brands by multiplying the impact of platforms, people, and technology. The Company has four main business segments, or 'pillars': Creatd Labs, Creatd Partners, Creatd Ventures, and Creatd Studios. Each pillar is characterized by a distinct revenue model, while operating on a shared-services structure and proprietary data collected from our multiple technology platforms. Creatd's pillars work together to create a flywheel effect, supporting our core vision of creating a viable and safe ecosystem for all stakeholders in the creator economy.

Creatd: https://creatd.com;

Creatd IR: https://investors.creatd.com;

Vocal Platform: https://vocal.media;

Investor Relations Contact: ir@creatd.com

Forward-Looking Statements

Any statements that are not historical facts and that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, indicated through the use of words or phrases such as "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "intends," "plans," "believes" and "projects") may be forward-looking and may involve estimates and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. We caution that the factors described herein could cause actual results to differ materially from those expressed in any forward-looking statements we make and that investors should not place undue reliance on any such forward-looking statements. Further, any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. New factors emerge from time to time, and it is not possible for us to predict all of such factors. Further, we cannot assess the impact of each such factor on our results of operations or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. This press release is qualified in its entirety by the cautionary statements and risk factor disclosure contained in our Securities and Exchange Commission filings.

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SOURCE Creatd, Inc.

FAQ

What date was Creatd's S-1 registration statement declared effective?

The S-1 registration statement was declared effective on July 15, 2022.

What is the purpose of Creatd's $40 million Rights Offering?

The Rights Offering aims to enhance the company's financial position and enable significant revenue growth.

Who is eligible to participate in the Rights Offering?

Shareholders of record as of July 29, 2022, are eligible to participate.

What is the subscription price for units in the Rights Offering?

Each unit in the Rights Offering has a subscription price of $2.00.

When does the subscription period for the Rights Offering begin?

The subscription period begins on August 8, 2022.