USA Technologies Inc. (Nasdaq: USAT), a software and payments company that provides end-to-end technology solutions for the unattended retail market, today announced that it has agreed to sell 5,730,000 shares of its common stock to certain institutional investors in a private placement.
USAT said it anticipates aggregate gross proceeds from the offering will be approximately $55 million, before deducting fees, based on the offering price of $9.60 a share. The transaction, subject to customary closing conditions subject to customary closing conditions, is expected to close on March 1.
The high-tech payments company reported that it will use the net proceeds from the offering for general corporate purposes.
“We believe this will pay dividends in both growing our current customer base domestically and internationally,” said USAT chief executive Sean Feeney. We remain committed to being the leaders in this industry, and in that vein, we have brought on Ravi Venkatesan, our CTO, to help us develop and execute upon a very ambitious roadmap. We are very excited about our product pipeline and what we will be rolling out in the next 12 months.”
J.P. Morgan acted as lead placement agent, and Craig-Hallum Capital Group and Northland Capital Markets acted as joint placement agents in connection with the private placement.
