Garden Stage Limited closes $4.2 million registered direct offering

NEW YORK - Garden Stage Limited (NASDAQ:GSIW), a Hong Kong-based financial services provider with a market capitalization of $3.9 million, has closed a registered direct offering raising approximately $4.2 million in gross proceeds, according to a press release statement issued Friday. According to InvestingPro data, the company has been rapidly burning through cash, with negative free cash flow of $8.3 million in the last twelve months.

The company sold 38,406,345 ordinary shares at a purchase price of $0.11 per share to several investors. Some investors received pre-funded warrants in lieu of shares at the same purchase price, less the exercise price of $0.001 per share.

Univest Securities, LLC acted as the sole placement agent for the transaction.

The offering was conducted pursuant to a shelf registration statement on Form F-3 previously filed by the company and declared effective by the U.S. Securities and Exchange Commission on March 10, 2025.

Garden Stage Limited operates through two wholly-owned subsidiaries: I Win Securities Limited, which is licensed to conduct securities dealing activities, and I Win Asset Management Limited, which provides advisory and asset management services. Both subsidiaries are licensed under Hong Kong’s Securities and Futures Ordinance.

The company’s services include placing and underwriting, securities dealing and brokerage, asset management, and investment advisory services.

A final prospectus supplement and accompanying prospectus describing the terms of the offering have been filed with the SEC.

In other recent news, Garden Stage Limited has successfully secured approximately $4.2 million through a registered direct offering. The Hong Kong-based financial services provider entered into a definitive agreement with investors to sell 38,406,345 ordinary shares at $0.11 per share. This transaction is expected to close soon, providing the company with significant gross proceeds. The offering also includes the option for pre-funded warrants in lieu of shares, maintaining the same purchase price with a minimal exercise fee of $0.001. These developments highlight Garden Stage Limited’s strategic financial maneuvers to bolster its capital base.

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