Oblong (OBLG) Announces $12.4 Million Registered Direct Offering

Oblong, Inc. (Nasdaq: OBLG) (“Oblong” or the “Company”), the award-winning maker of multi-stream collaboration solutions, today announced that it has entered into definitive agreements with pre-existing and new institutional investors for the purchase of 4,000,000 shares of common stock at a purchase price per share of $3.10 and Series A warrants to purchase an aggregate of 1,000,000 shares of common stock at an exercise price of $4.00 per share in a registered direct offering. The Series A warrants are exercisable until January 4, 2022. Oblong has also agreed to issue to the investors in a concurrent private placement Series B warrants to purchase an aggregate of 3,000,000 shares of common stock that are exercisable six months and one day following issuance, are exercisable for three years from the initial exercise date, and have an exercise price of $4.40 per share. The closing of the offering is expected to take place on or about June 30, 2021, subject to the satisfaction of customary closing conditions.

The Special Equities Group, a division of Dawson James Securities, Inc., acted as lead placement agent for this offering.

The gross proceeds to Oblong, before deducting placement agent fees and other offering expenses, are expected to be $12.4 million. Oblong intends to use the net proceeds from this offering for general corporate purposes, which may include working capital, capital expenditures and other corporate expenses. Subject to the registration of the common shares underlying the warrants, the warrants may be exercised only for cash, and upon exercise would generate up to an additional $17.2 million in gross proceeds to the Company.

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