Color Star Technology (CSCW) Announces 70M Share Offering at $0.08/sh

September 15, 2022 9:02 AM EDT

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Color Star Technology Co., Ltd. (NASDAQ: CSCW) today announced that it has entered into a securities purchase agreement with certain institutional investors for a registered direct offering of ordinary shares and warrants. Each unit consists of one ordinary share and one warrant to purchase one ordinary share. The purchase price per unit is $0.08. The gross proceeds from the sale of the securities, before deducting placement agent fees and other estimated offering expenses payable by the Company, will be approximately $5.6 million. The Company will issue to the investors an aggregate of 70,000,000 ordinary shares and warrants to purchase an aggregate of 70,000,000 ordinary shares. The warrants are initially exercisable at $0.08 per share.

The net proceeds from this offering will be used for general corporate and working capital purposes. The completion of the placement is expected to occur on or about September 19, 2022, subject to the satisfaction of customary closing conditions.

Maxim Group LLC is acting as the exclusive placement agent in connection with the offering.

The securities described above are being offering by the Company pursuant to a registration statement on Form F-3 (File No. 333-256508) that was previously filed with the Securities and Exchange Commission (SEC) and declared effective on June 23, 2021. Such ordinary shares and warrants may be offered only by means of a prospectus, including a prospectus supplement. A prospectus supplement and accompanying prospectus related to the offering will be filed with the SEC and will be available on the SEC's website located at

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities, in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

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