Innovative Eyewear secures $1.8 million from warrant exercises

MIAMI - Innovative Eyewear, Inc. (NASDAQ:LUCY), a $12.1 million market cap company known for its smart eyewear technology, has finalized agreements for the immediate exercise of outstanding warrants issued in September 2024, which will result in approximately $1.8 million in gross proceeds. The company, which has seen its stock surge 150% in the past week, maintains a strong liquidity position with a current ratio of 12.5x. The transaction, involving the exercise of warrants for 601,686 shares at a reduced price of $2.60 per share, is slated for completion on April 14, 2025, pending customary closing conditions.

The exercise price is a significant reduction from the original prices of $5.00 and $9.50 per share. H.C. Wainwright & Co. is the exclusive placement agent for the offering. The shares are registered under an effective Form S-1 registration statement (File No. 333-282472).

Innovative Eyewear plans to allocate the net proceeds for working capital and general corporate purposes. As part of the deal, the company will also issue new unregistered Series G and H warrants for purchasing additional shares of common stock at $2.60 per share, with the Series G warrants set to expire five and a half years post-registration and the Series H warrants in eighteen months.

The newly issued warrants, along with the common stock issuable upon their exercise, are offered in a private placement and are not registered under the Securities Act of 1933 or state securities laws, thus restricting their sale in the United States to certain conditions. InvestingPro data reveals the company's overall financial health score is rated as "FAIR," with analysts projecting continued sales growth in the current year. Subscribers can access 10+ additional ProTips and comprehensive financial metrics for deeper analysis. The company has committed to filing a registration statement with the SEC for the resale of the shares from the new warrants within 30 days.

Innovative Eyewear, the creator of smart eyewear under brands such as Lucyd®, Nautica®, Eddie Bauer®, and Reebok®, emphasizes its mission to enhance users' connectivity to their digital lives through Bluetooth audio glasses. The company's stock has shown significant volatility, with a beta of 3.03, and currently trades at 82% below its 52-week high of $27.20. This news comes with the caveat of forward-looking statements, which are subject to various risks and uncertainties as disclosed by the company in SEC filings.

This press release is based on a press release statement and should not be interpreted as an offer to sell or a solicitation to buy any securities.

In other recent news, Innovative Eyewear, Inc. announced that its Lucyd Armor smart safety glasses have received certification to meet European Union EN 166:2002 safety standards. This certification enables the company to expand its market reach into Europe, adding to its existing certifications in the US, Canada, and the UK. The Lucyd Armor glasses, which feature photochromic lenses and smart functions like a Walkie feature and high-fidelity audio, have quickly become the company's fastest-selling product since their launch in the fourth quarter of 2024. The European safety eyewear market, valued at $1.3 billion in 2024, is projected to grow to $1.6 billion by 2030, presenting a significant opportunity for the company.

Innovative Eyewear is currently in discussions with a prominent eyewear distributor to introduce Lucyd Armor in Europe and is also exploring distribution opportunities in Asia and Latin America. The company plans to release additional variants of Lucyd Armor later this year, including sunglass and full-range prescription options. The CEO, Harrison Gross, emphasized the importance of Lucyd Armor as a tool for professionals needing eye protection and hands-free communication. The company's international expansion plans, particularly for the Armor and the upcoming Reebok Powered by Lucyd collection, are expected to drive growth in 2025. Products shipped from the company's manufacturing facilities in China to markets outside the US are not subject to US tariffs, potentially providing a competitive advantage in these regions.

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