Cyngn's $20 Million Offering Marks a Key Investment Milestone

Cyngn Successfully Completes a $20 Million Follow-On Offering

Cyngn Inc. (the Company or Cyngn) (NASDAQ: CYN), a leader in AI-driven autonomous driving software solutions for industrial purposes, proudly announces the conclusion of its latest follow-on offering. This offering has yielded gross proceeds of approximately $20.0 million, before accounting for placement agent fees and other related expenses.

Details of the Offering

The offering comprised 12,422,360 Common Units, each unit made up of one share of Common Stock or a Pre-Funded Warrant intended to purchase a share of Common Stock. In addition, the offering included one Series A Common Warrant and one Series B Common Warrant for purchasing shares of Common Stock. Each Common Unit was priced at $1.61, while the Pre-Funded Units were available at a price of $1.6099. This amount reflects the Common Unit price minus a nominal exercise fee for the Pre-Funded Warrant, set at $0.0001. Buyers of the Pre-Funded Units can take action at their discretion, and there is a direct reduction of Common Units equivalent to each Pre-Funded Unit sold.

Warrant Details and Their Activation

The Series A Common Warrant offers an initial exercise price of $2.0125 per share of Common Stock. Holders can exercise these warrants pending stockholder approval, with an expiration period of 60 months. At the same time, the Series B Common Warrant is also set at an initial price of $2.0125, potentially utilizing an alternative cashless exercise option, and these too are contingent on stockholder approval, expiring within 30 months.

Strategic Utilization of Proceeds

The closure of this transaction marks a significant step forward as Cyngn is poised to direct the net proceeds from the offering, in conjunction with its existing resources, toward essential corporate functions and operational sustainability.

Leadership Roles in the Offering Process

Aegis Capital Corp. proudly held the position of Exclusive Placement Agent for the offering. Furthermore, legal advisory positions were filled by Sichenzia Ross Ference Carmel LLP for Cyngn and Kaufman & Canoles, P.C. for Aegis Capital Corp., ensuring that all regulatory requirements and processes were meticulously adhered to.

Regulatory Adherence and Document Availability

A registration statement on Form S-1 (No. 333-283514) was previously submitted to the U.S. Securities and Exchange Commission (SEC) and was officially effective as of December 19. The offering was made in strict compliance with the prospectus as mandated by regulatory standards.

Final Prospectus Information

Those interested in obtaining a final prospectus detailing the offering terms can find it filed with the SEC. Copies are also available by contacting Aegis Capital Corp.’s Syndicate Department directly.

About Cyngn

Cyngn is at the forefront of developing scalable and unique autonomous vehicle technology dedicated to enhancing industrial operations. Its self-driving technology aims to help businesses augment productivity whilst tackling pressing issues like labor shortages and rising demands for eCommerce services.

The company’s flagship innovation, the DriveMod Kit, allows for seamless integration into new industrial vehicles or existing fleets without imposing hefty replacement costs. By enabling effortless adoption of advanced automation, Cyngn supports organizations in keeping pace with evolving market dynamics.

Within its suite of offerings, Cyngn provides the Enterprise Autonomy Suite, featuring groundbreaking components such as DriveMod, Cyngn Insight, and Cyngn Evolve, facilitating sophisticated management and analytical capabilities tailored for the autonomous vehicle market.

Frequently Asked Questions

What is the purpose of Cyngn's recent follow-on offering?

The recent offering is directed toward supporting Cyngn's general corporate needs and enhancing its operational efforts.

How can investors acquire more information regarding the offering?

Investors can refer to the final prospectus available on the SEC's website or contact Aegis Capital Corp. for further details.

What does Cyngn specialize in?

Cyngn specializes in autonomous driving software solutions aimed at improving industrial applications.

What are the key components of the Enterprise Autonomy Suite?

Key components include DriveMod, Cyngn Insight, and Cyngn Evolve, which enhance fleet management and operational efficiency.

Who acted as counsel for Cyngn during the offering?

Sichenzia Ross Ference Carmel LLP served as legal counsel to Cyngn during the offering process.

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