Ability Inc. (NASDAQ: ABIL) took a licking at Friday’s open, after announcing a pricing of its shares.
The Tel Aviv-based company, which provides innovative tactical communications intelligence solutions, today announced the pricing of a registered offering of 3,076,923 units, at a price of $3.25 per unit, to a single institutional purchaser.
Each unit consists of (i) one ordinary share (or ordinary share equivalent), and (ii) a warrant to purchase one ordinary share. Ability expects to receive aggregate gross proceeds of approximately $10 million from the offering.
The ordinary shares (or the ordinary share equivalents) and the accompanying warrants included in the units can only be purchased together in this offering, but will be issued separately and will be immediately separable upon issuance.
The warrants will have a term of five years, be exercisable immediately and have an exercise price of $3.25 per ordinary share.
H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.
The offering is expected to close on or about November 27, subject to customary closing conditions.
Ability intends to use the net proceeds from the offering for general corporate purposes and working capital.
ABIL plummeted $2.46, or 44.3%, to $3.09, within a 52-week trading range of $2.14 to $14.55.
