Information Analysis Announces $2,800,000 Equity Financing

Rhea-AI Summary

Information Analysis Incorporated (OTCQB: IAIC) announced the sale of 1,400,000 Units at $2.00 each in a private placement financing. Each Unit consists of one share of common stock and one warrant exercisable through August 31, 2026, at an exercise price of $3.00. The financing was led by CEO Jaime Benoit, who invested $1.5 million, alongside existing investors including the Board of Directors. The proceeds will enhance working capital for an aggressive acquisition strategy and support a potential uplisting to Nasdaq.

Positive

• Raised $2.8 million through the sale of 1,400,000 Units.
• Investment by CEO and entire Board of Directors indicates strong internal confidence.
• Proceeds will enhance working capital for acquisition strategy.
• Facilitates potential uplisting to Nasdaq.

Negative

• None.

FAIRFAX, Va., Aug. 30, 2021 (GLOBE NEWSWIRE) -- Information Analysis Incorporated (OTCQB: IAIC) (“IAI”) today announced that it has sold 1,400,000 Units at a price of $2.00 per unit in a private placement financing.

Each Unit was sold at a price of $2.00 and consists of one share of IAI common stock and one warrant exercisable through August 31, 2026 for a share of common stock at an exercise price of $3.00 per share.

The financing was led by the Company’s newly appointed Chairman and CEO, Mr. Jaime Benoit, who invested $1.5 million, along with participation from existing investors, which included the entire Board of Directors. There were no fees paid to placement agents in this offering.

Jamie Benoit, Chairman and CEO, noted, “We believe that IAI is in an excellent position to continue its transformation strategy and reposition the Company as a disruptive technology and commercial enablement leader in government and global private sector verticals. We were delighted that the entire Board of Directors invested in the transaction, which reflects our collective belief in the significant potential of IAI in the market. The working capital proceeds from this financing better position our Company to pursue an aggressive acquisition strategy and facilitates our ability to uplist our shares on Nasdaq.”

About Information Analysis Incorporated
Information Analysis Incorporated (www.infoa.com), headquartered in Fairfax, Virginia, is an information technology products and services company. The Company specializes in software conversions, systems modernization and security.

Additional information for investors
This release may contain forward-looking statements regarding the Company's business, customer prospects, or other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties which could cause actual results to vary materially from those expressed in the forward-looking statements. Investors should read and understand the risk factors detailed in the Company's 10-K for the fiscal year ended December 31, 2020 and in other filings with the Securities and Exchange Commission.

For additional information contact:
Jeremy Hellman, CFA
Vice President
The Equity Group Inc.
(212) 836-9626

Matt Sands, CFO
msands@infoa.com
(703) 293-7925

 

FAQ

What did Information Analysis Incorporated announce on August 30, 2021?

On August 30, 2021, Information Analysis Incorporated announced the sale of 1,400,000 Units in a private placement financing at $2.00 per unit.

What is included in each Unit sold by IAIC?

Each Unit sold by IAIC includes one share of common stock and one warrant exercisable through August 31, 2026, at an exercise price of $3.00.

Who led the private placement financing for IAIC?

The private placement financing for IAIC was led by newly appointed Chairman and CEO Jaime Benoit, who invested $1.5 million.

What is the purpose of the funds raised in IAIC's private placement?

The funds raised will enhance working capital, support an aggressive acquisition strategy, and facilitate a potential uplisting to Nasdaq.