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Canaan Inc. Closes Third Tranche of Preferred Shares Financing

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Plans to fund self-mining expansion and Bitcoin mining machine business in North America 

SINGAPORE, Sept. 30, 2024 /PRNewswire/ — Canaan Inc. (NASDAQ: CAN) (“Canaan” or the “Company”), a leading high-performance computing solutions provider, today announced that it has closed the third and final tranche of its previously announced preferred shares financing (the “Preferred Shares Financing”), raising additional total gross proceeds of $50 million. Pursuant to the third tranche of Preferred Shares Financing, the Company issued 50,000 Preferred Shares (the “Third Closing Shares”) at a price of US$1,000.00 per Preferred Share. Canaan agreed that the proceeds from the sale of the Third Closing Shares will be used by the Company and/or its subsidiaries to manufacture or invest in digital mining sites and equipment to be deployed or sold in North America, including any acquisition or disposition of assets from or between subsidiaries.

“We are delighted to continue our partnership with this institutional investor. We believe their continued commitment demonstrates their confidence in Canaan and the significant opportunities this collaboration offers for both parties,” said Nangeng Zhang, chairman and chief executive officer of Canaan.  “By expanding our North American self-mining activities, we expect to benefit from a more diversified revenue stream, reduced volatility, and a stable regulatory environment. This strategic initiative positions us to capitalize on the anticipated Bitcoin bull market, enhancing our ability to generate robust returns from our self-mining operations.  We also hope that working on projects that utilize the Northern American power infrastructure will expand our team’s expertise on blockchain data center operations and beyond.” 

On November 27, 2023, the Company entered into a securities purchase agreement (the “Securities Purchase Agreement”) with an institutional investor (the “Buyer”), pursuant to which the Company agreed to issue and sell to the Buyer up to 125,000 Series A Convertible Preferred Shares at the price of US$1,000.00 for each Preferred Share. On December 11, 2023, the Company closed the first tranche of the Preferred Shares Financing, raising total gross proceeds of $25 million. On January 22, 2024, the Company closed the second tranche of the Preferred Shares Financing, raising total gross proceeds of $50 million.

On September 27, 2024, the Company closed the third and final tranche of the Preferred Shares Financing under the Securities Purchase Agreement. The Third Closing Shares were sold under the amended terms of certain documents executed on September 26, 2024, namely, a global amendment (the “Global Amendment”) to the Securities Purchase Agreement as well as an amended certificate of designations (the “Certificate of Designations”) of Preferred Shares, par value US$0.00000005 per share, as adopted by the Company. The amendments to the original terms of the securities purchase agreement and certificate of designations include, among other things,

(a) while the first and second tranches of preferred shares were sold as registered securities under a registration statement of the Company, the Third Closing Shares were issued and sold as “restricted securities” under applicable U.S. federal and state securities laws, and the Buyer acknowledged that Company has no obligation to register or qualify the Third Closing Shares, or the ADSs into which they may be converted;

(b) the Third Closing Shares are convertible, after six (6) months following their issuance, into Class A Ordinary Shares that can be deposited with the Depositary for the issuance of ADSs; and

(c) so long as the Buyer holds any of the Preferred Shares or any Conversion Shares, the Buyer will limit its aggregate sales of Conversion Shares on the open market in any given calendar week to no more than 10% of the weekly trading volume of the ADSs on all trading markets for such week.

The Buyer and the Company have also made amendments to the preferred share conversion mechanism under the Certificate of Designations. First, the Fixed Conversion Price has increased. For the first and second tranches, the Fixed Conversion Price was 120% of the Weighted Average Price of the ADSs on the Trading Day immediately preceding the applicable Issuance Date of the Series A Preferred Shares being converted.  For the third tranche, the Fixed Conversion Price has been modified to $4.00. For reference, the closing trading price of the Company’s ADSs on September 27, 2024, was $1.06. Second, a 90-day average Secured Overnight Financing Rate (“SOFR”) published on the Trading Day immediately preceding the date of conversion, or a SOFR factor, has been added to the calculation of the Conversion Amount, reflecting an additional cost for the Company to use the proceeds from the sales of the Third Closing Shares until the Conversion Date. As of September 27, 2024, the 90-day average SOFR was 5.32675%.

The Securities Purchase Agreement (as amended) contains customary representations, warranties and agreements by the Company and the Buyer, and indemnification obligations of the Company against certain liabilities, including for liabilities under the Securities Act of 1933, as amended. The provisions of the Securities Purchase Agreement (as amended), including the representations and warranties contained therein, are not for the benefit of any party other than the parties to such agreement and are not intended as a document for investors and the public to obtain factual information about the current state of affairs of the Company. Rather, investors and the public should look to other disclosures contained in the Company’s filings with the SEC.

The Certificate of Designations creates the Preferred Shares and provides for the designations, preferences and relative, participating, optional or other rights, and the qualifications, limitations or restrictions thereof, of the Preferred Shares, which becomes effective upon its adoption.

The foregoing description does not purport to be complete and is qualified in its entirety by reference to the full text of the Securities Purchase Agreement, as amended, and the Certificate of Designations, as amended. The full text of the amendment to the Securities Purchase Agreement and the form of amended Certificate of Designations are to be filed as exhibits to the Company’s current report on Form 6-K dated on or around September 30, 2024. The full text of the Securities Purchase Agreement was previously filed as an exhibit to the Company’s current report on Form 6-K dated November 28, 2023. Capitalized terms used in this press release without definition shall have the meanings given to them in the Securities Purchase Agreement, the Certificate of Designations, and any amendments thereto.                                                                                                                                             

This press release is for informational purposes only and is not an offer to sell or a solicitation of an offer to buy any securities, which is made only by means of a prospectus supplement and related prospectus. There will be no sale of these securities in any jurisdiction in which such an offer, solicitation of an offer to buy or sale would be unlawful.

About Canaan Inc.

Established in 2013, Canaan Inc. (NASDAQ: CAN), is a technology company focusing on ASIC high-performance computing chip design, chip research and development, computing equipment production, and software services. Canaan has extensive experience in chip design and streamlined production in the ASIC field. In 2013, Canaan’s founding team shipped to its customers the world’s first batch of mining machines incorporating ASIC technology in bitcoin‘s history under the brand name Avalon. In 2019, Canaan completed its initial public offering on the Nasdaq Global Market. To learn more about Canaan, please visit https://www.canaan.io/.

Safe Harbor Statement

This press release contains forward−looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward−looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Among other things, Canaan Inc.’s anticipated financing plans and its intended use of proceeds contain forward−looking statements. Canaan Inc. may also make written or oral forward−looking statements in its periodic reports to the U.S. Securities and Exchange Commission (“SEC”) on Forms 20−F and 6−K, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Canaan Inc.’s beliefs and expectations, are forward−looking statements. Forward−looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward−looking statement, including but not limited to the following: the Company’s goals and strategies; the Company’s future business development, financial condition and results of operations; the expected growth of the bitcoin industry and the price of bitcoin; the Company’s expectations regarding demand for and market acceptance of its products, especially its bitcoin mining machines; the Company’s expectations regarding maintaining and strengthening its relationships with production partners and customers; the Company’s investment plans and strategies, fluctuations in the Company’s quarterly operating results; competition in its industry in China; and relevant government policies and regulations relating to the Company and cryptocurrency. Further information regarding these and other risks is included in the Company’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Canaan Inc. does not undertake any obligation to update any forward−looking statement, except as required under applicable law.

Investor Relations Contact

Canaan Inc.
Ms. Xi Zhang
Email: IR@canaan-creative.com 

ICR, LLC.
Robin Yang
Tel: +1 (347) 396-3281
Email: canaan.ir@icrinc.com 

View original content:https://www.prnewswire.com/news-releases/canaan-inc-closes-third-tranche-of-preferred-shares-financing-302262882.html

SOURCE Canaan Inc.

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INTOUCH INSIGHT ANNOUNCES Q3 2024 FINANCIAL RESULTS

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OTTAWA, ON, Nov. 21, 2024 /CNW/ – Intouch Insight Ltd, (“Intouch” or “the Company”) (TSXV: INX) (OTCQX: INXSF) a leader in customer experience measurement solutions, today announced financial results for the quarter ended September 30, 2024.

Key highlights for Q3 2024

Revenue increased 18% to $6,656,664 compared to $5,634,594 in Q3 2023.Recurring services revenue increased 23% to $5,761,966 from $4,678,154 the prior year Q3.Gross margin increased to 48.2% from 41.7% in Q2 2024 due to the shift in product mix.SaaS revenues grew 9% organically.Operating expenses have grown 7% compared to prior year’s Q3 as acquisition integration efforts continue.Adjusted EBITDA remained positive increasing to $575,889 compared to $296,515 in Q2, 2024 and $509,762 in prior year Q3.

“Our financials illustrate that Intouch is a growing, profitable and financially self-sufficient business.  Sales and marketing efforts are building on our thought leadership and improving brand recognition, particularly in the key target market segments of Quick Serve Restaurants and Petro Convenience, as evidenced by recent mainstage speaking invitations for four industry events,” said Cameron Watt, President & Chief Executive Officer of the Company.

“This year will mark the second year in a row with revenues over $25 Million and we expect growth to continue well beyond this level into the future,” said Watt.

Consolidated Statements of Operations

Q3 2024

Q3 2023

Revenue

$    6,656,664

$    5,634,594

Cost of services

3,445,180

2,719,682

Gross margin

3,211,484

2,914,912

Total operating expenses

2,844,721

2,656,381

Income from operating activities

366,763

258,531

Non-operating (expenses) income 

87,297

(83,076)

Income tax recovery (expense)

Net income (loss)

$       454,060

$       175,455

About Intouch Insight

Intouch Insight offers a complete portfolio of customer experience management (CEM) products and services that help global brands delight their customers, strengthen brand reputation and improve financial performance. Intouch helps clients collect and centralize data from multiple customer touch points, gives them actionable, real-time insights, and provides them with the tools to continuously improve customer experience. Founded in 1992, Intouch is trusted by over 300 of North America’s most-loved brands for their customer experience management, customer survey, mystery shopping, mobile forms, operational and compliance audits, geolocation data capture and event marketing automation solutions. For more information, visit intouchinsight.com.

Certain statements included in this news release contain forward looking statements that are made of the date hereof, which by their nature are necessarily subject to risks and uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.  Such statements reflect the Company’s current views with respect to future events, including the acquisition, future revenues and references to the Company’s expansion and growth of the business and operations, and are based on information currently available to the Company and on hypotheses which it considers to be reasonable; however, management warns the reader that hypotheses relative to future events which are beyond the control of management could prove to be false, given that they are subject to certain risks and uncertainties. Please refer to the risks set forth in the Company’s most recent annual MD&A and the Company’s continuous disclosure documents that can be found on SEDAR at www.sedar.com.   The Company does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Intouch Insight Ltd.

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Beacon Healthcare Systems Expands Leadership Team with Addition of Ayman Mohamed as Chief Technology Officer

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HUNTINGTON BEACH, Calif., Nov. 21, 2024 /PRNewswire/ — Beacon Healthcare Systems, is pleased to announce the appointment of Ayman Mohamed as its new Chief Technology Officer, effective November 18, signaling a new direction in innovation and technology leadership. With over 20 years of senior leadership, strategic, and operational product management experience, Ayman brings a wealth of knowledge and expertise to the role.

Beacon Healthcare Systems Expands Leadership Team with Addition of Ayman Mohamed as Chief Technology Officer

Ayman Mohamed is a seasoned technology leader with a proven track record of launching innovative products in new and existing markets, generating significant revenue streams, and creating profitable enterprises. His passion for building high-quality products and commitment to servant leadership have earned him a reputation for building trust and fostering collaborative, high-performing teams.

Throughout his career, Ayman has demonstrated a deep understanding of software architecture and broad hands-on technical skills. He has successfully helped organizations succeed, with experience spanning startups and larger companies in the San Francisco Bay and Washington DC metro areas. In his new role at Beacon Healthcare Systems, Ayman will lead engineering and delivery teams, develop a product roadmap, and lead technology development, testing, and implementation efforts.

“We are thrilled to have Ayman join Beacon Healthcare Systems at this pivotal time. Our vision is to harness cutting-edge technologies to enhance our products, implementations, and continue to give our clients the level of quality they expect,” said Todd Petersen, CEO.

Ayman Mohamed’s previous roles include leadership positions at Amazon Web Services, American Well, Avizia, Intersections Inc, Zumetrics, Moasis Global, and Ultra Zoom Technologies. His strategic and operational skills, combined with his ability to thrive in dynamic environments and his bias for action, make him an invaluable asset to Beacon Healthcare Systems.

About Beacon Healthcare Systems. Beacon Healthcare Systems streamlines the business of healthcare through reliable innovative SaaS technology delivered by industry experts. With a focus on appeals and grievances, compliance, and analytics, Beacon HCS is the first place health plans turn when looking for a trusted, experienced partner that can help them reduce costs, grow revenue, and achieve their strategic goals. Founded in 2011, Beacon HCS is a privately held California-based company. Visit our website at www.beaconhcs.com

Media Contact: 9048744189 | Dkroog@beacon@beaconhcs.com 

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SOURCE Beacon Healthcare Systems

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NASA Awards Test Operations Contract

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WASHINGTON, Nov. 21, 2024 /PRNewswire/ — NASA has selected Sierra Lobo, Inc. of Fremont, Ohio, to provide for test operations, test support, and technical system maintenance activities at NASA’s Stennis Space Center near Bay St. Louis, Mississippi.

The NASA Stennis Test Operations Contract is fixed-price, level-of-effort contract that has a value of approximately $47 million. The performance period begins July 1, 2025, and extends three years, with a one-year base period and two one-year option periods.

The contract will provide test operations support for customers in the NASA Stennis test complex. It also will cover the operation and technical systems maintenance of the high-pressure industrial water, high-pressure gas, and cryogenic propellant storage support areas, as well as providing welding, fabrication, machining, and component processing capabilities.

NASA Stennis is the nation’s largest propulsion test site, with infrastructure to support projects ranging from component and subscale testing to large engine hot fires. Researchers from NASA, other government agencies, and private industry utilize NASA Stennis test facilities for technology and propulsion research and developmental projects.

For information about NASA and other agency programs, visit:

https://www.nasa.gov

View original content to download multimedia:https://www.prnewswire.com/news-releases/nasa-awards-test-operations-contract-302313691.html

SOURCE NASA

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