ImageWare Closes Direct Offering with $6.125M in Net Proceeds

“As previously announced, the company will use these proceeds ‘for general corporate purposes,’ according to a press release.”

ImageWare has closed the direct offering announced earlier this week, bringing in even more capital than expected.

Originally, ImageWare had announced that it received subscriptions from institutional investors for 4,545,455 shares of its common stock at $1.10 per share, equivalent to proceeds of $5 million. Now, the company says it has closed a direct offering of 5,954,545 shares, bringing in $6.55 million.

After accounting for expenses associated with the offering, ImageWare’s net proceeds came in at $6,125,000. As previously announced, the company will use these proceeds “for general corporate purposes,” according to a press release.

It’s anyone’s guess what those corporate purposes are in detail, but ImageWare has been consistent over recent corporate updates in insisting that it’s working to fundamentally transform its business. The company will of course continue to offer biometric identity and security solutions, but as CEO Jim Miller explained in ImageWare’s Q4 and 2018 year-end update, the aim is to offer cloud- and mobile-based services on a recurring revenue model. The success of ImageWare’s direct offering should help the company’s leadership as they seek to realize those goals.

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May 2, 2019 – by Alex Perala