Insider Brief
- WISeKey has signed Convertible Notes Subscription Agreements for up to $30 million via private placements with institutional investors, starting with an initial issuance of $2.5 million.
- The convertible notes have a maturity of 12 months and can be converted into WISeKey Class B Shares, with a conversion price set at the lower of a fixed price or 94% of the lowest daily VWAPs over the prior ten trading days.
- CEO Carlos Moreira highlighted that the funding will support WISeKey’s cybersecurity business, key satellite and semiconductor projects, and the development of SEALCOIN for token transfers via satellite to IoT devices.
PRESS RELEASE — WISeKey International Holding Ltd. (SIX: WIHN, NASDAQ: WKEY), a global leader in cybersecurity, digital identity and Internet of Things (IoT) innovations operating as a holding company, today announced that it has signed Convertible Notes Subscription Agreements for up to $30 million, via private placements with a select group of institutional investors.
Under terms of the Agreements, WISeKey will initially issue convertible notes in the aggregate principal amount of $2,500,000 for subscription by the Investors. WISeKey has the right to request the Investors to subscribe for additional tranches, each additional tranche will be in the aggregate principal total amount of $1,250,000 per Investor, at the date and time determined by WISeKey, subject to certain cool-down and volume-related criteria. Each of the convertible notes under the Agreements has a maturity date of 12 months after the relevant issue date and is convertible at any time at the election of the Investors into WISeKey Class B Shares. The conversion price under the Agreements is equal to the lower of a fixed conversion price as determined in the Agreements and 94% of the lowest daily VWAPs of one Class B Share, as applicable, during the ten (10) consecutive trading days preceding the relevant conversion date.
Carlos Moreira, Founder and CEO of WISeKey noted, “This new funding provides WISeKey with flexible financing at a competitive cost, which is particularly valuable in the current market environment. It enables us to continue funding the growth and development of our core cybersecurity business and strategic initiatives at each of our subsidiaries. Specifically, WISeSat.Space remains focused on key projects, including the deployment of a low-orbit satellite constellation by 2027 by leveraging cutting-edge technological innovations, and SEALSQ is on track to launch its next-generation post-quantum semiconductors in 2025.
Additionally, this financing will support our ongoing work on SEALCOIN, with a second Proof of Concept set for January 2025, which will demonstrate the transfer of tokens via satellite to IoT devices thus accelerating the token’s broader availability on digital exchanges in 2025.”
Maxim Group LLC served as the sole placement agent for these private placements.
