reAlpha Tech Corp. Announces Exercise of Warrants for $3.1 Million Gross Proceeds

Core Viewpoint - reAlpha Tech Corp. has entered into agreements for the immediate exercise of outstanding warrants, allowing the purchase of up to 4,218,751 shares at a reduced price of $0.75 per share, generating approximately$3.1 million in gross proceeds for the company [1][3]. Group 1: Warrants and Share Issuance - The company is reducing the exercise price for all outstanding November 2023 warrants to $0.75 per share, which includes the warrants for 4,218,751 shares [5]. - In exchange for the immediate exercise of the warrants, the company will issue new unregistered warrants to purchase up to 8,437,502 shares at the same reduced price of$0.75 per share [2][5]. - The new warrants will be exercisable upon stockholder approval and will expire on November 24, 2028 [2]. Group 2: Financial Details and Use of Proceeds - The gross proceeds from the exercise of the warrants are expected to be approximately $3.1 million before deducting fees and expenses [1][3]. - The company intends to use the net proceeds from the offering for general working capital purposes [3]. Group 3: Regulatory and Compliance Information - The new warrants and shares are offered in a private placement and have not been registered under the Securities Act of 1933, requiring a registration statement for resale [4]. - The company has agreed to file a registration statement with the SEC covering the resale of shares issuable upon exercise of the new warrants [4]. Group 4: Company Overview - reAlpha Tech Corp. is a real estate technology company focused on developing an AI-driven, commission-free homebuying platform [7].