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Cyngn Inc. Announces a $9.65 Million Registered Direct Offering

Cyngn Inc. (NASDAQ: CYN), a key player in autonomous vehicle technology for industrial applications, has made headlines with its latest financial maneuver. The company has finalized agreements for a registered direct offering that will see it raise approximately $9.65 million through the sale of shares of common stock and pre-funded warrants. This strategic decision underscores Cyngn's commitment to enhancing its capital structure and sustaining its operational growth amidst evolving market conditions.

Details of the Offering

The offering involves the sale of 5,000,000 shares of common stock, priced at $1.93 per share. Notably, over 90% of this offering was acquired by a single institutional investor, while a high-net-worth individual took on the remaining shares. This approach not only reflects confident investor backing but also aligns with Nasdaq's regulatory pricing standards, marking the transaction as competitively priced.

The pre-funded warrants associated with this offering will be immediately exercisable, and holders can maintain their options until fully exercised. For every pre-funded unit sold, the total shares available in the offering will decrease by one for each warrant exercised. The gross proceeds from this initiative are expected to bolster Cyngn's corporate and working capital needs substantially.

Closing Timeline and Future Plans

Projected to close on or around March 17, 2026, the transaction is subject to typical closing conditions. Once finalized, Cyngn will have approximately 16,896,493 shares of common stock outstanding, considering the full exercise of pre-funded warrants issued during this offering. The capital raised will be directed towards general corporate purposes, allowing the company to navigate its operational landscape more effectively.

Financial Advisors and Compliance

Aegis Capital Corp. is leading the offering as the exclusive placement agent, while Kaufman Canoles, P.C. provides legal counsel for Cyngn. Greenberg Traurig, P.A. acts as legal counsel for Aegis Capital Corp., ensuring compliance with regulatory frameworks throughout the process. The offering is facilitated under an existing effective shelf registration statement (No. 333-290079) filed with the U.S. Securities and Exchange Commission (SEC).

Cyngn’s Mission and Vision

Founded on the pursuit of innovation, Cyngn focuses on the development and deployment of self-driving technology tailored for industrial organizations, particularly in sectors like manufacturing and logistics. The company’s DriveMod technology is designed to address pressing challenges faced by these organizations, such as labor shortages and elevated safety concerns. The DriveMod Tugger, for instance, offers a capacity of hauling up to 12,000 lbs indoors and outdoors with a projected payback period of less than two years.

By leveraging such advancements, Cyngn aims to streamline operations for its customers while minimizing upfront costs and facilitating swift integration into existing systems.

Encouraging Growth and Investments

Cyngn’s construction of a robust financial foundation through this offering reflects its focus on sustainable growth and innovation in the autonomous vehicle sector. As interest in automated industrial solutions increases, Cyngn is strategically poised to capitalize on future market opportunities. This offering not only enhances its liquidity but also reinforces investor confidence in the company's visionary approach and operational capabilities.

For more detailed information regarding the offering and Cyngn Inc.'s ongoing projects, stakeholders can refer to the SEC’s website and the company’s official channels. Overall, this funding initiative stands as a testament to Cyngn's proactive measures in adapting to current market dynamics and setting the stage for future advancement within the autonomous vehicle space.

Contact Information

For inquiries related to investor relations or media, individuals can reach out to Natalie Russell, Interim CFO at [email protected] or Luke Renner, Head of Marketing at [email protected]. All official updates can also be found on Cyngn's website and social media platforms.