Phoenix Motor Inc. Raises $2M in Direct Offering

TL;DR

Phoenix Motor Inc. is selling shares at $1.80 to raise $2M from an institutional investor.

AI Summary

Phoenix Motor Inc. announced on May 17, 2024, that it entered into a securities purchase agreement with an institutional investor for a registered direct offering. The company will issue approximately 1.1 million shares of its common stock at a price of $1.80 per share, expecting gross proceeds of about $2 million before deducting fees and expenses.

Why It Matters

This capital infusion provides Phoenix Motor Inc. with funds that can be used for general corporate purposes, potentially supporting its operations and growth initiatives.

Risk Assessment

Risk Level: medium — Direct offerings can dilute existing shareholders' value, and the company's financial health and ability to utilize the funds effectively present ongoing risks.

Key Numbers

• $2.0M — Gross Proceeds (Funds raised from the registered direct offering.)
• $1.80 — Price Per Share (The price at which shares are being sold in the offering.)
• 1.1M — Shares Offered (The approximate number of common stock shares being issued.)

Key Players & Entities

• Phoenix Motor Inc. (company) — Registrant
• May 17, 2024 (date) — Date of Report
• institutional investor (company) — Purchaser in offering
• 1.1 million (dollar_amount) — Number of shares to be issued
• $1.80 (dollar_amount) — Price per share
• $2 million (dollar_amount) — Expected gross proceeds

FAQ

Key Financial Figures

• $0.0004 — ch registered Common Stock, par value $0.0004 per share PEV The Nasdaq Stock Mark
• $14.98 million — ted to guarantee repayment of a debt of $14.98 million incurred by SPI Energy Co., Ltd. (Nasda

Filing Documents

• tm2414921d1_8k.htm (8-K) — 25KB
• 0001104659-24-063157.txt ( ) — 194KB
• pev-20240517.xsd (EX-101.SCH) — 3KB
• pev-20240517_lab.xml (EX-101.LAB) — 33KB
• pev-20240517_pre.xml (EX-101.PRE) — 22KB
• tm2414921d1_8k_htm.xml (XML) — 4KB

01

Item 8.01. Other Events. On May 17, 2024, the Board of Directors (the " Board ") of Phoenix Motor Inc. (the " Company ") established a special committee to investigate various allegations against Mr. Xiaofeng Denton Peng, the current Chief Executive Officer of the Company (" CEO "), including but not limited to a breach of his fiduciary duty as the CEO of the Company, Chairman and Director of the Board, and as a majority shareholder of the Company by causing the Company to enter into related party transactions, including that certain guarantee, dated March 6, 2024, in favor of Streeterville Capital, LLC. Pursuant to the guaranty, the Company is obligated to guarantee repayment of a debt of $14.98 million incurred by SPI Energy Co., Ltd. (Nasdaq: SPI) where Mr. Peng is currently serving as CEO. The Board believes that this is an unauthorized related party transaction that harms the Company and its minority shareholders. In light of the foregoing, the Board has suspended Mr. Peng from his position and responsibilities as the CEO of the Company with immediate effect, pending the outcome of the investigation. The Company's former Chief Financial Officer, J. Mark Hastings, has been appointed by the Board to assume the role of interim CEO until the conclusion of the investigation. A further statement will be made when the investigation is complete.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: May 20, 2024 PHOENIX MOTOR INC. By: /s/ J. Mark Hastings Name: J. Mark Hastings Title: Interim Chief Executive Officer

View Full Filing

View this 8-K filing on SEC EDGAR