BEIJING, March 17,
2023 /PRNewswire/ -- Recon Technology, Ltd. (NASDAQ:
RCON) ("Recon" or the "Company") announced today the closing of its
previously announced registered direct offering with certain
accredited investors to purchase approximately $8 million worth of its Class A ordinary shares
(or pre-funded warrants to purchase Class A ordinary shares in lieu
thereof) in a registered direct offering, and Class A ordinary
shares warrants in a concurrent private placement, for proceeds of
approximately $8 million. In
addition, ordinary share purchase warrants to purchase an aggregate
of 7,950,769 ordinary shares
previously issued by the Company to certain institutional investors
on June 16, 2021 had the exercise
price reduced to $0.80 in connection
with this offering.
After deducting the placement agent's commission and other
offering expenses payable by the Company, the net proceeds to the
Company were approximately $7.1
million. The Company intends to use the net proceeds for
general corporate purposes, including for the Company's research
and development needs for current and future products, expansion of
marketing efforts, and possible acquisitions of complementary
assets or businesses.
Maxim Group LLC ("Maxim") acted as the sole placement agent in
connection with this offering.
The securities described above were offered by the Company
pursuant to a shelf registration statement on Form F-3 filed with
the Securities and Exchange Commission (SEC) dated December 2, 2022, and declared effective on
January 5, 2023. A prospectus
supplement related to the offering were filed with the SEC on
March 17, 2023 and is available on
the SEC's website at http://www.sec.gov. Copies of the prospectus
supplements relating to the offering may be obtained, when
available, by contacting: Maxim Group LLC, 300 Park Avenue,
16th Floor, New York,
NY 10022, by telephone: at (212) 895-3500.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of,
these securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of such state or
jurisdiction.
About Recon Technology, Ltd.
Recon Technology, Ltd (NASDAQ: Recon) is China's first listed non-state owned oil and
gas field service company on NASDAQ. Recon supplies China's largest oil exploration companies,
Sinopec (NYSE: SNP) and The China National Petroleum Corporation
("CNPC"), with advanced automated technologies, efficient gathering
and transportation equipment and reservoir stimulation measure for
increasing petroleum extraction levels, reducing impurities and
lowering production costs. Through the years, Recon has taken
leading positions on several segmented markets of the oil and gas
filed service industry. Recon also has developed stable long-term
cooperation relationship with its major clients. For additional
information please visit: www.recon.cn.
Forward-Looking Statements
Forward-Looking Statements in this press release, which are not
historical facts, are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. Our actual
results, performance or achievements may differ materially from
those expressed or implied by these forward-looking statements. In
some cases, you can identify forward-looking statements by the use
of words such as "may," "could," "expect," "intend," "plan,"
"seek," "anticipate," "believe," "estimate," "predict,"
"potential," "continue," "likely," "will," "would" and variations
of these terms and similar expressions, or the negative of these
terms or similar expressions. Such forward-looking statements are
necessarily based upon estimates and assumptions that, while
considered reasonable by us and our management, are inherently
uncertain. Factors that may cause actual results to differ
materially from current expectations include, among others, whether
we will sign any additional contracts with the North China Branch, the final revenue from
providing services to the North
China Branch, actual results of our solutions in the field,
levels of spending in our industry as well as consumer confidence
generally; changes in the competitive environment in our industry
and the markets where we operate; our ability to access the capital
markets; and other risks discussed in the Company's filings with
the U.S. Securities and Exchange Commission, including our Annual
Report on Form 20-F, which filings are available from the SEC. We
caution you not to place undue reliance on any forward-looking
statements, which are made as of the date of this press release. We
undertake no obligation to update publicly any of these
forward-looking statements to reflect actual results, new
information or future events, changes in assumptions or changes in
other factors affecting forward-looking statements, except to the
extent required by applicable laws. If we update one or more
forward-looking statements, no inference should be drawn that we
will make additional updates with respect to those or other
forward-looking statements.
For more information, please contact:
Ms. Liu Jia
Chief Financial Officer
Recon Technology, Ltd
Phone: +86 (10) 8494-5188
Email: info@recon.cn
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SOURCE Recon Technology, Ltd