#United States #AI Technology #Menlo Park #Autonomous Driving #Cyngn Inc.

Cyngn Inc. Hits a Milestone with $9 Million Direct Offering

Cyngn Inc. has officially announced the pricing details of a significant registered direct offering, effectively generating $9 million in funding from various institutional investors. The Company, which is publicly traded on Nasdaq under the ticker CYN, specializes in developing AI-powered autonomous driving software solutions targeted at industrial applications.

Details of the Offering

The offering involves 15 million shares of common stock, each priced at $0.60. This also includes pre-funded warrants for acquiring common stock at a slightly reduced price, equating to the public offering price minus a nominal exercise price. This strategic move is aimed at enhancing the Company’s capital base in order to address its operational budget and development efforts.

Expected to close by December 31, 2024, the transaction is subject to standard closing conditions. The net proceeds from this offering will be utilized alongside Cyngn's existing cash reserves to fund general corporate operations and bolster working capital.

Strategic Partnerships in Place

Aegis Capital Corp. acts as the Exclusive Placement Agent for this transaction, while Sichenzia Ross Ference Carmel LLP is providing legal counsel to Cyngn. Likewise, Kaufman Canoles, P.C. has been retained to counsel Aegis Capital Corp. Both firms possess deep experience in financial transactions, which will benefit the executed offering.

Regulatory Compliance

The offering has been structured in accordance with a previously established shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC), which was declared effective back in June 2023. Cyngn plans to file a final prospectus supplement and documentation detailing the offering’s specifics, which will be accessible through the SEC's website. Investors and interested parties are encouraged to review these documents thoroughly.

The Broader Impact of Cyngn’s Solutions

Cyngn is dedicated to revolutionizing the industrial sector by improving operational efficiency through its target of addressing major issues like labor shortages and safety incidents. By allowing companies to integrate self-driving technology into their fleets without incurring hefty upfront costs, Cyngn's DriveMod Kit can be installed on current vehicles, thus providing a seamless transition to autonomous operations.
The flagship offering, the Enterprise Autonomy Suite, includes the DriveMod system, Cyngn Insight—a suite for managing AV fleets—and Cyngn Evolve, a toolkit that leverages field data for ongoing machine learning and modeling.

Looking to the Future

As a player in the autonomous vehicle technology space, Cyngn is poised to leverage this funding to innovate further and expand its operations. The Company is focused on responding to the growing demand for eCommerce while mitigating costly safety incidents in industrial settings. As the market for autonomous solutions continues to expand, Cyngn aims to establish itself as a leader in this transforming landscape, catering specifically to the needs of industrial organizations.

With this latest offering, Cyngn not only enhances its financial stability but also reinforces its commitment to driving innovation in the autonomous driving sector, positioning itself to achieve remarkable growth in the near future.