EXCLUSIVE: Reborn Coffee Raises Premium Equity Investment, Moves To Resolve Nasdaq Deficiency

Core Insights - Reborn Coffee, Inc. has secured a $6.5 million equity investment aimed at stabilizing its finances and achieving profitability by 2026 [1][4] - The company sold approximately 1.2 million common shares at $5.45 each, which is about three times its recent market value [1] - The capital raise, along with year-end balance sheet actions, has increased estimated stockholders' equity to around $3.4 million as of December 31, helping the company comply with Nasdaq's requirements [2] Financial Actions - Reborn Coffee completed a warrant exchange with previous investors, eliminating outstanding warrants and approximately $1.3 million in derivative liabilities, thereby strengthening its balance sheet [3] - The CEO emphasized that the equity capital received and the elimination of derivative liabilities significantly enhance the company's financial position [4] Future Outlook - The company is focused on improving operations, implementing cost controls, and expanding both domestic and international opportunities to achieve profitability next year [4] - Reborn Coffee plans to update investors once Nasdaq provides a formal compliance determination [5] - The stock has shown volatility, with a 52-week high of about $8.30 and a low of nearly $1.20, but shares rebounded over 50% from their lows [5]