NEW YORK, Sept. 24, 2021 /PRNewswire/ -- Color Star
Technology Co., Ltd. ("Color Star" or the "Company") (NASDAQ:
CSCW), an entertainment technology company with a global network
that focuses on the application of technology and artificial
intelligence (AI) in the entertainment industry, 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 0.7 ordinary share. The purchase
price per unit is $0.68. 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 $21.5
million. The Company will issue to the investors an
aggregate of 31,624,924 ordinary shares and warrants to purchase an
aggregate of 22,137,446 ordinary shares. The Company will also
issue a warrant to purchase 948,747 ordinary shares to the
placement agent. The investor warrants and placement agent warrants
are initially exercisable at $1.00
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 28, 2021, subject to the satisfaction
of customary closing conditions.
FT Global Capital, Inc. is acting as the exclusive placement
agent in connection with the offering.
The securities described above are being offering by Color Star.
pursuant to a registration statement on Form F-3 (File No.
333-236616) that was previously filed with the Securities and
Exchange Commission (SEC) and declared effective on March 10, 2020. Such shares of common stock 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 http://www.sec.gov.
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.
For further information regarding this transaction, please see
the Form 6-K to be filed with the SEC.
About Color Star Technology
Color Star Technology Co, Ltd. (Nasdaq CM: CSCW) is an
entertainment and education company that provides online
entertainment performances and online music education services. Its
business operations are conducted through its wholly-owned
subsidiaries Color China Entertainment Ltd. and CACM Group NY, Inc.
The Company's online education is provided through its Color World
music and entertainment education platform. More information about
the Company can be found at www.colorstarinternational.com.
Forward-Looking Statement
This press release contains forward-looking statements as
defined by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. When the Company uses words such as
"may," "will," "intend," "should," "believe," "expect,"
"anticipate," "project," "estimate" or similar expressions that do
not relate solely to historical matters, it is making
forward-looking statements. Forward-looking statements are
not guarantee of future performance and involve risks and
uncertainties that may cause the actual results to differ
materially from the Company's expectations discussed in the
forward-looking statements. These statements are subject to
uncertainties and risks including, but not limited to, the
following: the Company's goals and strategies; the Company's
future business development; product and service demand and
acceptance; changes in technology; economic conditions; the growth
of the educational and training services market in China and other countries where CSCW conducts
its business; reputation and brand; the impact of competition and
pricing; government regulations; fluctuations in general economic
and business conditions and assumptions underlying or related to
any of the foregoing and other risks contained in reports filed by
the Company with the Securities and Exchange Commission. For
these reasons, among others, investors are cautioned not to place
undue reliance upon any forward-looking statements in this press
release. Additional factors are discussed in the Company's filings
with the U.S. Securities and Exchange Commission, which are
available for review at www.sec.gov. The Company undertakes no
obligation to publicly revise these forward–looking statements to
reflect events or circumstances that arise after the date hereof
unless required by applicable laws, regulations or rules.
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SOURCE Color Star Technology Co., Ltd.