NEW YORK, Feb. 22, 2022 /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 one ordinary share. The purchase
price per unit is $0.40. 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 $10.0
million. The Company will issue to the investors an
aggregate of 25,000,000 ordinary shares and warrants to purchase an
aggregate of 25,000,000 ordinary shares. The warrants are initially
exercisable at $0.40 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 February 24, 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 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.