Facility Extends AEye’s Cash Runway
AEye, Inc. (NASDAQ: LIDR), a global leader in adaptive,
high-performance lidar solutions, today announced that it has
entered into a common stock purchase agreement (the “Purchase
Agreement”) with New Circle Principal Investments LLC (“New
Circle”), an affiliate of New Circle Capital LLC. Under the terms
of the Purchase Agreement, AEye will have the right, but not the
obligation, to sell to New Circle up to $50 million of AEye’s
common stock from time-to-time over the 36-month term of the
Purchase Agreement (the “Equity Reserve Facility”).
Matt Fisch, AEye CEO, said, “We are pleased to announce this
stock purchase agreement with New Circle, which could significantly
extend our cash runway and enable us to advance our strategic
growth initiatives. The establishment of this facility is timely as
we have recently reached key performance milestones with our
ultra-long range, high-speed lidar product, Apollo, which we
believe is the most compact lidar solution for the $5 billion ADAS
market. Apollo continues to attract significant interest from
partners and OEMs who are seeking a value-driven, ultra-long-range
lidar solution that addresses safety at speed. Apollo can achieve
these standards without requiring OEMs to sacrifice design due to
the product’s small form factor.
“The ability to raise additional capital should enable us to
invest in necessary go-to-market activities with Apollo and execute
on the design wins we are pursuing. This should accelerate our
strategic objectives and position us for continued growth and
innovation in our industry.”
Additional information regarding the Equity Reserve Facility is
available in the Company’s Current Report on Form 8-K, which will
be filed with the SEC and made available at www.sec.gov and on the
Company’s website.
AEye expects to use net proceeds from the Equity Reserve
Facility for working capital and general corporate purposes to
support its future growth, including further penetration into the
Chinese lidar market and further go-to-market enhancements of the
Apollo product.
This news release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there by any sale of any
of the securities referred to in this news release in any state in
which such offer, solicitation or sale would be unlawful prior to
the registration or qualification under the securities laws of any
such state.
About AEye
AEye’s unique software-defined lidar solution enables advanced
driver-assistance, vehicle autonomy, smart infrastructure, and
logistics applications that save lives and propel the future of
transportation and mobility. AEye’s 4Sight™ Intelligent Sensing
Platform, with its adaptive sensor-based operating system, focuses
on what matters most: delivering faster, more accurate, and
reliable information. AEye’s 4Sight™ products, built on this
platform, are ideal for dynamic applications which require precise
measurement imaging to ensure safety and performance.
Forward-Looking Statements
Certain statements included in this press release that are not
historical facts are forward-looking statements within the meaning
of the federal securities laws, including the safe harbor
provisions under the United States Private Securities Litigation
Reform Act of 1995. Forward-looking statements are sometimes
accompanied by words such as “believe,” “continue,” “project,”
“expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,”
“opportunity,” “predict,” “plan,” “may,” “should,” “will,” “would,”
“potential,” “seem,” “seek,” “outlook,” and similar expressions
that predict or indicate future events or trends, or that are not
statements of historical matters. Forward-looking statements are
predictions, projections, and other statements about future events
that are based on current expectations and assumptions and, as a
result, are subject to risks and uncertainties. Forward looking
statements included in this press release include statements about
the availability and potential uses of the common stock equity line
established by the Purchase Agreement, the acceleration of AEye’s
strategic objectives and positioning for continued growth and
innovation, and the Company’s product and market interest, among
others. These statements are based on various assumptions, whether
or not identified in this press release. These forward-looking
statements are provided for illustrative purposes only and are not
intended to serve as and must not be relied on by an investor as a
guarantee, an assurance, a prediction, or a definitive statement of
fact or probability. Actual events and circumstances are very
difficult or impossible to predict and will differ from the
assumptions. Many actual events and circumstances are beyond the
control of AEye. Many factors could cause actual future events to
differ from the forward-looking statements in this press release,
including but not limited to: (i) the risks that the Company may be
unable to satisfy all of the conditions in the Purchase Agreement
necessary for New Circle’s obligation to purchase AEye’s shares to
arise; (ii) the risks that AEye will be unable to access the full
$50 million equity line, or a substantial portion thereof, due to
the limitations in the Purchase Agreement, or otherwise; (iii) the
risks that the trading volume and price limitations will limit
AEye’s ability to access some or all of the equity line; (iv) the
risks that AEye will be unable to file the necessary Registration
Statement with the SEC or that such Registration Statement is never
declared effective, or it is declared effective later than expected
impacting the Company’s ability to utilize the equity line as
desired; (v) the risks that AEye’s inability to access some or all
of the equity line may not allow AEye to extend its cash runway,
significantly or otherwise, nor enable AEye to advance its
strategic growth initiatives, to the extent anticipated, or at all;
(vi) the risks that AEye’s ultra-long range, high-speed lidar
product, Apollo, is the not the most compact lidar solution, or a
competitive product emerges that provides a smaller form factor;
(vii) the risks that the ADAS market does not reach $5 billion in
the time frame anticipated, or at all; (viii) the risks that AEye’s
Apollo product does not continue to attract interest from partners
or OEMs to the extent anticipated, or at all; (ix) the risks that
AEye’s Apollo product may be unable to deliver the performance
anticipated without requiring OEMs to sacrifice their design to the
extent anticipated; (x) the risks that any additional capital
raised from the equity line does not permit AEye to invest in the
necessary go-to-market activities for Apollo nor execute on the
design wins AEye is currently pursuing, or may in the future
pursue; (xi) the risks that even if AEye is able to access the
equity line to the extent anticipated, it may not permit
acceleration of AEye’s strategic objectives nor position AEye for
continued growth and innovation in the lidar industry to the extent
anticipated, or at all; (xii) the risks that market conditions
create delays in the demand for commercial lidar products beyond
AEye’s expectations; (xiii) the risks that lidar adoption occurs
slower than anticipated or fails to occur at all; (xiv) the risks
that AEye’s products may not meet the diverse range of performance
and functional requirements of target markets and customers; (xv)
the risks that AEye’s products may not function as anticipated by
AEye, or by target markets and customers; (xvi) the risks that AEye
may not be in a position to adequately or timely address either the
near or long-term opportunities that may or may not exist in the
evolving autonomous transportation industry; (xvii) the risks that
laws and regulations are adopted impacting the use of lidar that
AEye is unable to comply with, in whole or in part; (xviii) the
risks associated with changes in competitive and regulated
industries in which AEye operates, variations in operating
performance across competitors, and changes in laws and regulations
affecting AEye’s business; (xix) the risks that AEye is unable to
adequately implement its business plans, forecasts, and other
expectations, and identify and realize additional opportunities;
and (xx) the risks of economic downturns and a changing regulatory
landscape in the highly competitive and evolving industry in which
AEye operates. These risks and uncertainties may be amplified by
current or future global conflicts and the lingering effects of the
COVID-19 pandemic, which continue to cause economic uncertainty.
The foregoing list of factors is not exhaustive. You should
carefully consider the foregoing factors and the other risks and
uncertainties described in the “Risk Factors” section of the
periodic report that AEye has most recently filed with the U.S.
Securities and Exchange Commission, or the SEC, and other documents
filed by us or that will be filed by us from time to time with the
SEC. These filings identify and address other important risks and
uncertainties that could cause actual events and results to differ
materially from those contained in the forward-looking statements.
Forward-looking statements speak only as of the date they are
made.
Readers are cautioned not to put undue reliance on
forward-looking statements; AEye assumes no obligation and does not
intend to update or revise these forward-looking statements,
whether as a result of new information, future events, or
otherwise. AEye gives no assurance that AEye will achieve any of
its expectations.
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version on businesswire.com: https://www.businesswire.com/news/home/20240729805532/en/
Investor Relations Contacts:
Evan Niu, CFA Financial Profiles, Inc. eniu@finprofiles.com
310-622-8243
AEye Investor Relations info@aeye.ai 925-400-4366
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