WKHS - Workhorse Strengthens Financial Position with Convertible Note Transaction | Benzinga
CINCINNATI, March 19, 2024 (GLOBE NEWSWIRE) -- Workhorse Group Inc. (NASDAQ:WKHS) ("Workhorse" or "the Company"), an American technology company focused on pioneering the transition to zero emission commercial vehicles, today announced it entered into an agreement on March 15, 2024 with an institutional investor (the "Investor") on the terms of financing transactions that will deliver up to $139 million to Workhorse and support the Company's continued execution of its product roadmap.
The financing transactions contemplate the issuance and sale by Workhorse to the Investor of senior secured convertible notes in an aggregate principal amount of up to $139 million and warrants to purchase shares of common stock in multiple tranches over a period beginning on March 15, 2024. In connection with the agreement, the Company completed a registered direct offering pursuant to which it issued and sold to the Investor a $9 million note and related warrants (the "March Securities"). The sale of the March Securities provides Workhorse immediate liquidity which is being used to fund operations and redeem the remaining $2,500,000 in aggregate principal amount of its existing Green Senior Secured Convertible Note.
The March Securities were offered in the registered direct offering pursuant to a registration statement on Form S-3 (File No. 333-273357), which was declared effective by the Securities and Exchange Commission (the "SEC") on July 28, 2023. The March Securities were offered in the registered direct offering only by means of a prospectus which is a part of the effective registration statement. A final prospectus supplement and the accompanying prospectus relating to the registered direct offering were filed with the SEC and will be available on the SEC's website at www.sec.gov.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy any securities, nor shall there be any sale of any securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other ...