BETHESDA, MD - Alset Inc. (NASDAQ: AEI), a diversified company with activities in real estate, financial services, and other sectors, with a current market capitalization of $15.15 million, has entered into agreements with institutional investors for a registered direct offering valued at approximately $1.5 million. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 16.94, indicating robust short-term financial stability. The transaction, priced at market under Nasdaq rules, involves the sale of common stock and pre-funded warrants at $1.00 per share and $0.999 per warrant, respectively.
The offering comprises 1,500,000 shares or equivalent pre-funded warrants, with the latter being immediately exercisable and remaining so until used in full. The number of common stock shares will decrease one-for-one with each pre-funded warrant sold. Expected to close on January 3, 2025, subject to customary conditions, the proceeds are earmarked for general corporate purposes and working capital. InvestingPro analysis suggests the company is currently undervalued, with additional insights available through their comprehensive financial analysis tools.
Aegis Capital Corp. serves as the exclusive placement agent, while Sichenzia Ross Ference Carmel LLP and Kaufman & Canoles, P.C. provide legal counsel to Alset and Aegis Capital Corp., respectively. This offering is pursuant to a shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC), effective as of May 5, 2022.
Investors can obtain the final prospectus supplement and accompanying prospectus, detailing the offering’s terms, from the SEC’s website or directly from Aegis Capital Corp. once available.
Alset Inc. focuses on sustainable healthy living, involving EHome community development and various other ventures. It aims to create a healthy living ecosystem to drive growth and shareholder value. The company generated revenue of $13.19 million in the last twelve months, with a gross profit margin of 24.15%. InvestingPro subscribers have access to 16 additional key insights about Alset’s financial health and market performance. More information on the company is available on its website.
This press release contains forward-looking statements regarding the offering’s completion and the anticipated use of proceeds, which are subject to risks, uncertainties, and assumptions. The company does not plan to update any forward-looking statements to reflect actual results or changes in expectations. The information in this article is based on a press release statement.
In other recent news, Alset Inc. has been actively consolidating its investments. A significant development is the company’s $800,000 stock purchase from DSS, Inc., which has increased its position as the largest shareholder in DSS. Additionally, Alset Inc. has expanded its stake in HWH International Inc. to 88.8% through a separate stock purchase agreement.
Alset Inc. also completed a noteworthy land sale in Texas, selling 72 single-family residential lots for approximately $3.9 million. In terms of corporate governance, Alset Inc. shareholders have re-elected seven board members and ratified the appointment of Grassi & Co. as the company’s independent auditor for the year ending December 31, 2024.
These are recent developments in Alset Inc.’s ongoing operations. The company has also reported a 39.9% decline in revenue over the past year, despite maintaining a strong liquidity position with a current ratio of 16.94. The company’s strategic moves in the real estate and investment sectors, alongside its recent financial performance, highlight the evolving landscape of its operations.
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