Crexendo Announces Launch of Public Offering
Crexendo, Inc. (NASDAQ:CXDO) announced a public offering of 3,500,000 shares of common stock, with 1,750,000 shares offered by the company and 1,750,000 shares by existing stockholders. The offering includes a 30-day option for underwriters to purchase an additional 525,000 shares. Net proceeds will support working capital, sales, marketing, product development, and other general corporate purposes. B. Riley Securities and Colliers Securities are joint book-running managers for this offering, which is pending SEC effectiveness.
- Public offering of 3,500,000 shares to raise capital.
- Proceeds aimed at enhancing working capital and product development.
- Potential shareholder dilution from the issuance of new shares.
- Market uncertainty due to the pending SEC registration.
PHOENIX, AZ / ACCESSWIRE / September 21, 2020 / Crexendo, Inc. (NASDAQ:CXDO) ("Crexendo" or the "Company"), an award-winning premier provider of cloud communications, UCaas (Unified Communications as a Service), call center, collaboration services and other cloud based services, today announced it has launched a registered underwritten public offering of 3,500,000 shares of its common stock pursuant to a registration statement on Form S-1 filed with the U.S. Securities and Exchange Commission ("SEC"). The offering is expected to include 1,750,000 shares to be issued and sold by Crexendo and 1,750,000 shares to be sold by certain stockholders. In addition, Crexendo intends to grant the underwriters a 30-day option to purchase up to 525,000 additional shares of common stock from the Company.
The Company plans to use the net proceeds from this offering for general corporate purposes, including working capital, sales and marketing activities, product development, general and administrative matters, and capital expenditures. The Company will not receive any net proceeds from the sale of common stock by the selling stockholders.
B. Riley Securities, Inc. and Colliers Securities LLC are acting as joint book-running managers for the offering. This offering will be made only by means of a prospectus. Copies of the preliminary prospectus and the final prospectus, once available, may be obtained from: B. Riley Securities, Inc., 1300 North 17th Street, Suite 1400, Arlington, VA 22209 Attention: Prospectus Department or Colliers Securities LLC, 90 South Seventh Street, Suite 4300, Minneapolis, MN 55402 Attention: Prospectus Department.
A registration statement relating to these securities has been filed with the SEC on Form S-1 (File No. 333-248767), but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any offer or sale 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 such state or jurisdiction.
About Crexendo
Crexendo, Inc. is an award-winning premier provider of UCaaS (Unified Communications as a Service), call center, collaboration services, and other cloud business services that are designed to provide enterprise-class cloud services to any size business at affordable monthly rates.
Safe Harbor Statement
This press release contains forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for such forward-looking statements. The words "believe," "expect," "anticipate," "estimate," "will" and other similar statements of expectation identify forward-looking statements. The forward-looking statements are based on the Company's current expectations and involve risks and uncertainties, including, but not limited to, risks and uncertainties regarding our ability to consummate the offering, the intended use of proceeds thereof, other pending transactions, and other future events. The Company cautions that actual results could differ materially from the expectations described in the forward-looking statements. The Company also cautions that undue reliance should not be placed on any of the forward-looking statements, which speak only as of the date of this release. The Company undertakes no responsibility to update any of these forward-looking statements to reflect events or circumstances after the date of this release or to reflect actual outcomes. For a more detailed discussion of risk factors that may affect Crexendo's operations, results and securities, please refer to the Company's filings with the SEC, including the most recently filed Forms 10-Q and 10-K, each of which are incorporated by reference from the Company's registration statement on Form S-1, including the preliminary prospectus, filed with the SEC.
CONTACT:
Crexendo, Inc.|
Doug Gaylor
President and Chief Operating Officer
602-732-7990
dgaylor@crexendo.com
SOURCE: Crexendo, Inc.
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