authID Inc announces $2.1 million stock offering

Published 06/05/2025, 20:50
authID Inc announces $2.1 million stock offering

DENVER - authID Inc. (NASDAQ: AUID), a provider of biometric identity verification solutions, has entered into a definitive agreement for a registered direct offering of approximately 373,060 shares of common stock at a price of $5.60 per share. The company, currently valued at $74.43 million, anticipates gross proceeds of around $2.1 million before fees and expenses. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 3.41, indicating healthy short-term financial stability.

The closing of the offering is expected on or about May 7, 2025, contingent on customary closing conditions. Co-Placement Agents for the offering are Dominari Securities LLC and Madison Global Partners, LLC.

The net proceeds from the offering are slated for working capital and other corporate purposes. The offering is pursuant to a shelf registration statement effective since December 13, 2024. Details about the offering and the prospectus can be found on the SEC’s website and through Madison Global Partners LLC.

authID specializes in biometric identity proofing and authentication, aiming to provide secure and efficient user experiences for digital transactions. The company’s technology is designed to combat fraud, prevent account takeovers, and reduce password-related risks and costs. While the company is not yet profitable, with the next earnings report scheduled for May 13, 2025, investors tracking this high-volatility stock can access detailed analysis and Fair Value estimates through InvestingPro’s comprehensive research reports.

This press release does not serve as an offer to sell or a solicitation of an offer to buy securities. Sales will not be conducted in any jurisdiction where such offer, solicitation, or sale would be unlawful before registration or qualification under the securities laws of that state or jurisdiction.

The information in this article is based on a press release statement from authID Inc.

In other recent news, authID Inc. reported a significant increase in its fourth-quarter revenue for 2024, reaching $200,000 compared to $70,000 the previous year. Despite this growth, the company’s annual recurring revenue dropped to $800,000 from $1 million in the third quarter. Additionally, authID completed a registered offering of common stock and warrants, raising capital to support its growth initiatives. The offering involved the sale of 1,361,120 shares of common stock and pre-funded warrants, facilitated by Dominari Securities LLC and Madison Global Partners, LLC. In a strategic move, authID also entered into a partnership with TechDemocracy to promote passwordless security solutions using biometric authentication. As part of this collaboration, TechDemocracy professionals will be certified to support authID’s biometric platforms. Furthermore, authID secured $8.15 million through a share and warrant sale, with plans to use the proceeds for working capital and general corporate purposes. The company also announced the establishment of an Advisory Board, including industry experts, to expand its reach in the biometric authentication market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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