Siyata Mobile Announces Pricing of $20 Million Underwritten Public Offering

Rhea-AI Summary

Siyata Mobile Inc. (NASDAQ:SYTA)(NASDAQ:SYTAW) announced a public offering of 8,695,652 common shares at $2.30 each, potentially raising approximately $20 million before expenses. Each share comes with a warrant to purchase an additional common share, which is immediately exercisable. The offering is expected to close around January 11, 2022. Proceeds will primarily repay a senior secured convertible promissory note and support general corporate purposes, including growth strategies and R&D. The underwriters have a 45-day option for an additional 1,304,347 shares.

Positive

• Potential to raise approximately $20 million from the public offering.
• Funds will be used for strategic initiatives including research and development.
• The offering strengthens the company's balance sheet by repaying debt.

Negative

• Issuance of new shares may lead to shareholder dilution.

VANCOUVER, BC / ACCESSWIRE / January 6, 2022 / Siyata Mobile Inc. (NASDAQ:SYTA)(NASDAQ:SYTAW) ("Siyata" or the "Company"), a global vendor of Push-to-Talk over Cellular (PoC) devices and cellular signal booster systems, today announced the pricing of its underwritten public offering of 8,695,652 common shares (or pre-funded warrants to purchase common shares in lieu thereof) and accompanying warrants to purchase up to 8,695,652 common shares. Each common share (or pre-funded warrant in lieu thereof) is being sold together with one common warrant at a combined effective offering price of $2.30. The common warrants will be immediately exercisable at a price of $2.30 per common share and will expire five years from the date of issuance. The common shares (or pre-funded warrants in lieu thereof) and the accompanying common warrants can only be purchased together in the offering, but will be issued separately and will be immediately separable upon issuance. The offering is expected to close on or about January 11, 2022, subject to customary closing conditions.

Maxim Group LLC is acting as sole book-running manager for the offering.

Siyata has granted the underwriters a 45-day option to purchase up to an additional 1,304,347 common shares and/or common warrants to purchase up to 1,304,347 common shares, at the public offering price less discounts and commissions.

The gross proceeds from this offering are expected to be approximately $20 million before deducting underwriting discounts and commissions and other expenses payable by the Company. Siyata intends to use the net proceeds from this offering to repay a portion of its outstanding senior secured convertible promissory note, and for general corporate purposes including working capital, growth strategies, research and development, and sales and marketing.

The offering is being conducted pursuant to the Company's registration statement on Form F-1 (File No. 333-261644) previously filed with and subsequently declared effective by the Securities and Exchange Commission ("SEC"). A prospectus relating to the offering will be filed with the SEC and will be available on the SEC's website at http://www.sec.gov. Electronic copies of the prospectus relating to this offering, when available, may be obtained from Maxim Group LLC, 300 Park Avenue, 16^th Floor, New York, NY 10022, at (212) 895-3745.

This press release shall not constitute an offer to sell or the 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 Siyata Mobile:

Siyata Mobile Inc. is a B2B global vendor of next generation Push-To-Talk over Cellular (PoC) devices and cellular booster systems. Its portfolio of in-vehicle and rugged smartphones enable first responders and enterprise workers to instantly communicate, over a nationwide cellular network of choice, to improve communication, increase situational awareness, and save lives.

Its portfolio of enterprise cellular booster systems enables first responders and enterprise workers to amplify its cellular signal in remote areas, inside structural buildings where signals are weak, and within vehicles for the maximum cellular signal strength possible.

Siyata's common shares trade on the Nasdaq under the symbol "SYTA" and its warrants under "SYTAW".

Forward-Looking Statements:

The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. The forward-looking statements in this news release include statements relating to the Company's expectations regarding the closing of the offering and the intended use of proceeds from the offering. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. The safe harbor for forward-looking statements contained in the Securities Litigation Reform Act of 1995 protects companies from liability for their forward-looking statements if they comply with the requirements of the Act.

Investor Relations (Canada):
Kin Communications
1-866-684-6730
SYTA@kincommunications.com

Investor Relations (United States)
CORE IR
516-222-2560
SYTA@coreir.com

Siyata Mobile Corporate:
Daniel Kim, VP of Corporate Development
Siyata Mobile Inc.
daniel@siyata.net

SOURCE: Siyata Mobile, Inc.

View source version on accesswire.com:
https://www.accesswire.com/681350/Siyata-Mobile-Announces-Pricing-of-20-Million-Underwritten-Public-Offering

FAQ

What is the purpose of Siyata Mobile's public offering on January 6, 2022?

The public offering aims to raise approximately $20 million to repay debt and support general corporate purposes, including growth strategies and R&D.

How many shares are being offered in Siyata Mobile's January 2022 public offering?

Siyata Mobile is offering 8,695,652 common shares in its public offering.

What is the effective offering price for Siyata Mobile's shares?

The effective offering price for each common share is $2.30.

When is the expected closing date for Siyata Mobile's offering?

The offering is expected to close on or about January 11, 2022.

What are the potential risks associated with Siyata Mobile's public offering?

One potential risk is shareholder dilution due to the issuance of new shares.