Luna Announces$ 50 Million Strategic Investment from White Hat Capital mates

Luna inventions Incorporated( NASDAQ LUNA), a global leader in advanced fiber optic- grounded technology, moment blazoned a$ 50 million investment by White Hat Capital Partners( “ White Hat ”), an investment establishment concentrated on sustainable value creation in technology companies serving charge-critical operations.
Proceeds from this strategic investment were incompletely used to fund the accession of Silixa, also blazoned moment, and related sale costs in the aggregate quantum of roughly$ 25 million. Remaining proceeds were used to repay the Company’s outstanding$ 17 million term loan with PNC Bank and strengthen the Company’s balance distance.

Luna expects to apply the proceeds of this investment across a range of enterprise formerly in process to accelerate growth and increase profitability, including

staking on Inflection Point for Adoption of Fiber Optic Sensing results Aging structure and rising security enterprises for channels and critical structure have led to increased request relinquishment of fiber optic seeing technologies for structural health monitoring. Luna is well- deposited to apply its results and drive recreating profit through nonstop monitoring of these crucial means, similar as islands, coverts and channels.
adding Manufacturing Capacity to Meet Demand Arising from Strategic hookups Luna has cultivated strategic connections with several large global guests that are now expanding their use of Luna’s results, adding demand for Luna’s products.
Enhancing Investments in Innovation Luna intends to work its increased fiscal inflexibility to execute against its robust product roadmap and continue to be a leading inventor of innovative technologies with new operations, erecting upon its formerly large library of intellectual property.
In confluence with the strategic investment, David Chanley joined Luna’s Board of Directors.Mr. Chanley is aCo-Founder and Managing Partner of White Hat and has further than 20 times of experience in the technology sector. With this addition, Luna’s Board expanded to eight members.

“ We’re thrilled to drink White Hat as a new mate, ” said Scott Graeff, President and Chief Executive Officer of Luna. “ David and his platoon bring times of experience advising and supporting technology companies, particularly in the optics and test & dimension diligence. When I first met them, I was struck by how well they understood both our assiduity and our technologies. Their investment isn’t only a vote of confidence in the accession of Silixa, but also a strong countersign of our strategic vision and request openings. ”

“ White Hat is agitated to mate with the Luna operation platoon to support the Company in its coming stage of growth, ” said David Chanley, Managing Partner at White Hat Capital mates. “ Our thorough evaluation stressed the quality and depth of Luna’s operation platoon and the promising addition of the talented platoon from Silixa. With fresh scale and fiscal inflexibility, Luna is uniquely deposited as the largest pure- play company to address the rising demand for fiber optic seeing results in its crucial end requests. These include vital places in energy transition enterprise like carbon prisoner and storehouse( CCS) and electric vehicle( EV) relinquishment, as well as critical structural health monitoring and technical aerospace & defense operations. We’re eager to mate with Luna as the company accelerates its charge of enabling the future with fiber. ”

Summary of Investment Terms

White Hat has originally bought 52,500 shares of Series B convertible favored stock at a purchase price of$50.0 million. Each share has an original liquidation preference of$ 1,000 per share and subject to certain conditions and limitations will be convertible into shares of Luna common stock, beginning one time from allocation, at a conversion price of$6.70 per share, representing a 10 decoration to the Company’s 30- day volume- ladened average price. The favored stock will accrue daily tips outstanding, at the Company’s option, at either8.5 periodic rate if paid in cash or a 10 periodic rate if paid in kind. Until December 21, 2026, White Hat will have the right to buy up to an fresh$12.5 million of Series B convertible favored stock at par and else on the same terms. farther details concerning the sale and the terms of the Series B convertible favored stock will be included in a Current Report on Form 8- K to be filed by the Company with the Securities and Exchange Commission.

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