Cyren Announces Closing of $10.2 Million Private Placement at a Premium to Market

Rhea-AI Summary

Cyren (NASDAQ:CYRN) has successfully completed a private offering of 14,152,779 ordinary shares and associated warrants, raising approximately $10.2 million at a purchase price of $0.72 per share. The warrants can be exercised at $0.60 per share within three and a half years. Proceeds from this offering will be allocated for working capital and debt repayment. The company is obligated to file a registration statement for the resale of the shares within fifteen days. This transaction was conducted without public offering, thus securities are not registered under the Securities Act.

Positive

• Completed a private offering raising approximately $10.2 million.
• Offering price of $0.72 per share is above current market price.
• Funds will be used for working capital and debt repayment.

Negative

• Securities not registered under the Securities Act, limiting resale options.
• The need for a registration statement could indicate regulatory scrutiny.

MCLEAN, VA / ACCESSWIRE / September 20, 2021 / Cyren (NASDAQ:CYRN), a provider of email security and threat intelligence solutions, today announced the completion of its previously announced private offering of 14,152,779 of its ordinary shares and warrants to purchase up to an aggregate of 14,152,779 of its ordinary shares, at a purchase price of $0.72 per share and associated warrant. The warrants will have a term of three and one-half years and will be exercisable immediately following the issuance date at an exercise price of $0.60 per share. The gross proceeds to the Company of the offering are approximately $10.2 million.

H.C. Wainwright & Co. acted as the exclusive placement agent for the offering.

The Company intends to use the net proceeds from this offering for working capital purposes and the repayment of indebtedness.

The ordinary shares and warrants were offered by the Company pursuant to securities purchase agreements dated as of September 15, 2021 by and among the Company and the applicable investors on the signature pages thereto. Once available, electronic copies of the form of securities purchase agreement may be obtained on the SEC's website at http://www.sec.gov.

The offer and sale of the foregoing securities were made in a transaction not involving a public offering and have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or applicable state securities laws. Accordingly, the securities may not be reoffered or resold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and such applicable state securities laws.

Under agreements with the investors, the Company is required to file an initial registration statement with the Securities and Exchange Commission covering the resale of the ordinary shares to be issued to the investors (including those issuable upon the exercise of the warrants) within fifteen calendar days and to use its commercially reasonable efforts to have the registration statement declared effective as promptly as practical thereafter, and in any event no later than 75 days after today in the event of a "full review" by the Securities and Exchange Commission.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other 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 other jurisdiction.

About Cyren:

More than 1.3 billion users around the world rely on Cyren's cloud security solutions to protect them against cyber-attacks every day. Powered by the world's largest security cloud, Cyren (NASDAQ: CYRN) delivers fast time-to-protection with embedded threat detection, threat intelligence and email security solutions. Learn more at www.cyren.com.

Forward-Looking Statements:

This press release contains forward-looking statements, which may be identified by words such as "expect," "look forward to," "anticipate" "intend," "plan," "believe," "seek," "estimate," "will," "project" or words of similar meaning. Forward-looking statements are not guarantees of future performance, are based on certain assumptions and are subject to various known and unknown risks and uncertainties, many of which are beyond Cyren's control, and cannot be predicted or quantified, and include, among others, statements regarding the intended use of proceeds, as well as various additional risks, many of which are now unknown and generally out of Cyren's control, and which are detailed from time to time in reports filed by Cyren with the SEC, including quarterly reports on Form 10-Q, reports on Form 8-K and annual reports on Form 10-K. Cyren does not undertake any duty to update any statements contained herein (including any forward-looking statements), except as required by law.

Blog: http://blog.cyren.com
LinkedIn: www.linkedin.com/company/cyren
Twitter: www.twitter.com/CyrenInc

Company Contact:

Kenneth Tarpey, CFO
Cyren
+1.703.760.3320
kenneth.tarpey@cyren.com

SOURCE: Cyren

View source version on accesswire.com:
https://www.accesswire.com/664784/Cyren-Announces-Closing-of-102-Million-Private-Placement-at-a-Premium-to-Market

FAQ

What is the amount raised by Cyren in its recent private offering?

Cyren raised approximately $10.2 million from its recent private offering.

What is the exercise price of the warrants issued by Cyren?

The warrants issued by Cyren have an exercise price of $0.60 per share.

How will Cyren use the proceeds from its private placement?

Cyren intends to use the proceeds for working capital and repayment of indebtedness.

What are the terms of the shares and warrants offered by Cyren?

The offering included 14,152,779 ordinary shares at $0.72 each and warrants exercisable at $0.60 for three and a half years.

When must Cyren file a registration statement for the shares?

Cyren is required to file a registration statement within fifteen calendar days after the offering.