Viewbix secures $3 million in private placement at premium price

TEL AVIV - Viewbix Inc. (NASDAQ:VBIX) announced Wednesday it has entered into definitive agreements with investors for a $3 million private placement priced above the company's November 4 closing share price. The ad-tech company, currently valued at approximately $37 million market capitalization according to InvestingPro data, is seeking this capital injection amid challenging financial conditions, with the company operating at a negative EBITDA of $3.94 million in the last twelve months.

The ad-tech company will issue 800,000 units and pre-funded units priced at $3.75 per unit. Each common unit consists of one share and one common warrant exercisable at $5.625 per share with a five-year term. Pre-funded units will include a pre-funded warrant and one common warrant at the same exercise price.

The transaction is expected to close in December 2025, contingent on stockholder approval, Nasdaq requirements, and the execution of definitive agreements related to Viewbix's acquisition of Quantum X Labs Ltd., a quantum computing and AI company.

Proceeds will be used for general corporate purposes, working capital, and debt repayment, according to the company statement. The private placement was conducted without an underwriter or placement agent, with Greenberg Traurig, P.A. serving as legal counsel. This capital raise comes as Viewbix faces financial pressures, with InvestingPro data showing the stock has fallen nearly 40% over the past six months and its current ratio of 0.33 indicates short-term obligations exceed liquid assets.

The securities are being sold in a private placement to accredited investors and have not been registered under the Securities Act of 1933. Viewbix has agreed to file registration statements with the SEC covering the resale of the shares and warrants.

Viewbix operates in digital advertising through its subsidiaries Gix Media Ltd. and Cortex Media Group Ltd., focusing on search automation and digital content creation to optimize internet advertising campaigns.

The company stated in its press release that following this transaction, it plans to continue exploring potential new business opportunities and investments across various sectors.

In other recent news, Viewbix Inc. has announced a significant development regarding its business expansion. The company has signed a non-binding term sheet to acquire Quantum X Labs Ltd., a firm specializing in quantum computing and AI. According to the proposed terms, Viewbix plans to acquire 100% of Quantum X Labs in exchange for shares of common stock and pre-funded warrants. These securities would constitute 65% of Viewbix's total post-closing share capital. This acquisition is set to include shares from a concurrent $3 million private investment in public equity (PIPE) financing that was also announced. This move marks a strategic step for Viewbix as it aims to enhance its technological capabilities and market reach. The acquisition is still subject to final agreements and regulatory approvals.

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