By Chris Wack
Arcimoto said Monday it has entered into agreements with certain investors relating to the sale of 1.5 million shares in a registered direct offering, and warrants to purchase 2.9 million shares in a concurrent private placement, at a combined price of $1.70.
The electric vehicle maker said proceeds from the offerings are expected to close on or about Wednesday and total $2.5 million, before deducting placement agent fees and other offering expenses.
$250,000 of the proceeds would repay indebtedness, and the remainder would cover working capital and general corporate purposes, Arcimoto said.
The warrants to be issued are exercisable six months after their issuance at a price of $1.75 a share and a term of five years and six months.
Arcimoto shares were down 15% to $1.52 in premarket trading Monday.
Write to Chris Wack at chris.wack@wsj.com
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