Brand Engagement Network Ends $50 Million Equity Purchase Agreement to Enhance Financial Stability

Brand Engagement Network Ends $50 Million Equity Purchase Agreement

In a strategic move to bolster its financial position, Brand Engagement Network, Inc. (Nasdaq: BNAI), a prominent provider of secure, enterprise-grade artificial intelligence solutions, has announced the termination of its $50 million Standby Equity Purchase Agreement with YA II PN, Ltd., an affiliate of Yorkville Advisors Global, LP. This decision, effective immediately, allows the company to enhance its balance sheet and mitigate potential dilution of shares.

Overview of the Termination

The Standby Equity Purchase Agreement, originally signed on August 26, 2024, provided BEN with the opportunity to sell its common stock in increments up to $50 million. As part of its disciplined capital strategy, Brand Engagement Network decided to terminate the agreement, citing no outstanding obligations or advances under the facility.

This termination comes shortly after the company executed a 1-for-10 reverse stock split that took effect on December 12, 2025. During the tenure of the agreement, the company had only utilized the facility for one drawdown. The termination is seen as a proactive measure to strengthen the company's overall financial structure.

Recent Financial Developments

Brand Engagement Network has also made significant strides in its capital management. Recently, the company concluded the first installment of its $1.518 million premium private placement and anticipates the remaining installments to occur in February and March 2026. These initiatives demonstrate BEN's commitment to maintaining a strong financial foundation while minimizing shareholder dilution.

Tyler Luck, the CEO of Brand Engagement Network, emphasized the importance of a disciplined capital strategy, stating, "We remain focused on maintaining a disciplined capital strategy and a clean capital structure as we scale revenue-generating deployments." This focus on financial integrity aligns with the company's long-term goals of scaling its services and enhancing its market position.

About Brand Engagement Network, Inc.

Founded with the ambition to revolutionize customer interactions through advanced technology, Brand Engagement Network offers a suite of secure AI solutions that facilitate natural conversations, streamline workflow automation, and improve real-world execution across various formats, including text, voice, and avatar-based interactions. Designed for highly regulated and impactful industries, BEN’s cutting-edge platform provides organizations with a personalized, multimodal AI experience. The proprietary Engagement Language Model (ELM™) lies at the core of BEN's offerings, ensuring governance, compliance, and reliability are seamlessly integrated into their technology.

As Brand Engagement Network moves forward, it aims to deliver exceptional value to its clients, reinforcing its position in the AI landscape while navigating the complexities of financial management with poise.

For those interested in exploring more about the company's innovative solutions and upcoming developments, additional details can be found on their official website Brand Engagement Network.