MONTVALE, N.J., July 31, 2019 /PRNewswire/ -- MICT, Inc.
(Nasdaq: MICT) (the "Company") announced today that it
has successfully closed on a series of strategic transactions
resulting in the receipt by the Company of a total of $7.25 million, consisting of Series A convertible
preferred stock and convertible notes. An additional $1.75 million is committed be invested in Series
A convertible preferred stock on or before September 10, 2019, which will result in an
aggregate of $9 million in proceeds
to the Company.
The recent closings are comprised, before expenses, of
$5.25 million in Series A convertible
preferred stock, as well as a $2
million convertible note purchased by BNN Technology to
replace MICT's existing creditor instruments on more favorable
terms, plus applicable warrant coverage. BNN and MICT have the
option to increase the amount of the note financing to $3 million in the future.
Darren Mercer, Executive Director
of BNN Technology and a non-executive director of MICT pursuant to
BNN's investment in the convertible note, said: "We are excited
about the considerable potential of MICT's technology in
China and will continue to
leverage our established network to accelerate its growth. We have
introduced a number of significant commercial opportunities to the
Company and look forward to working together to bring these to
fruition. The planned business combination between BNN
Technology/BI China, MICT, ParagonEx and other parties is
progressing well, and we expect to provide a further update in the
near future."
David Lucatz, MICT's President and Chief Executive Officer,
stated: "This new funding is an important step towards completing
our contemplated business combination with BNN and others,
strengthening our balance sheet from the outset. With our operating
business Micronet remaining part of MICT, BNN's reach into
significant markets and our enhanced business leveraging, the
combined entity is expected to be very well positioned to pursue
global opportunities, most notably in China."
About MICT, Inc.
MICT, Inc. (MICT), via Micronet, operates in the growing commercial
MRM market, mainly in the United
States. Micronet designs, develops, manufactures and sells
rugged mobile computing devices that provide fleet operators and
field workforces with computing solutions in challenging work
environments. For more information please visit:
www.mict-inc.com.
Forward-looking Statements
This press release contains express or implied forward-looking
statements within the Private Securities Litigation Reform Act of
1995 and other U.S. Federal securities laws. These forward looking
statements include, but are not limited to, those statements
regarding the positive momentum that Micronet is showing and the
timing of the release of Micronet's next generation line of
products. Such forward-looking statements and their implications
involve known and unknown risks, uncertainties and other factors
that may cause actual results or performance to differ materially
from those projected. The forward-looking statements contained in
this press release are subject to other risks and uncertainties,
including those discussed in the "Risk Factors" section and
elsewhere in the Company's annual report on Form 10-K for the year
ended December 31, 2018 and in
subsequent filings with the Securities and Exchange Commission.
Except as otherwise required by law, the Company is under no
obligation to (and expressly disclaims any such obligation to)
update or alter its forward-looking statements whether as a result
of new information, future events or otherwise.
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SOURCE MICT, Inc.