Wearable Devices Secures $4 Million in Direct Offering to Advance AI-Powered Touchless Technology

Wearable Devices Ltd. (NASDAQ: WLDS, WLDSW) has successfully executed a securities purchase agreement with a single institutional investor, marking a significant financial milestone for the company specializing in AI-powered touchless sensing wearables. The transaction involves 670,000 ordinary shares priced at $6.00 per share in a registered direct offering priced at-the-market under Nasdaq rules, generating expected gross proceeds of approximately $4 million before deducting placement agent commissions and expenses. This capital infusion represents a critical development for the company's growth trajectory and technological advancement initiatives.

The financial implications extend beyond the immediate capital raise, as the company simultaneously conducted a concurrent private placement issuing unregistered warrants to purchase up to 670,000 additional ordinary shares at the same $6.00 per share price point. These warrants are exercisable immediately and maintain a five-year expiration timeline from issuance, providing the investor with substantial future equity participation opportunities. The closing of both transactions is anticipated on or about September 15, 2025, subject to standard customary closing conditions that typically accompany such financial arrangements in the securities market.

This funding round holds particular importance for Wearable Devices' flagship product, the Mudra Band for Apple Watch, which integrates innovative AI-based technology and algorithms into a functional wristband that utilizes proprietary sensors to identify subtle finger and wrist movements. The technology enables users to interact touchlessly with connected devices, representing a significant advancement in human-computer interaction methodologies. The capital will likely accelerate research and development efforts while supporting market expansion strategies for both consumer and business applications.

For the broader technology sector, this successful funding round signals continued investor confidence in AI-powered wearable technology and neural input interface systems. The company's technology has applications across multiple industries, particularly in the rapidly expanding Extended Reality landscape where touchless input solutions are becoming increasingly valuable. The transaction structure, combining both registered shares and warrants, demonstrates sophisticated financial engineering that balances immediate capital needs with long-term investor alignment.

The market implications extend beyond Wearable Devices itself, as successful funding rounds in the AI wearable space often serve as indicators for sector health and investor appetite for innovative technology companies. The company's ability to secure institutional investment at this scale validates its business model and technological approach while providing necessary resources to maintain competitive positioning in an increasingly crowded marketplace. Additional information about the company's developments can be found at https://ibn.fm/WLDS, while the complete press release details are available at https://ibn.fm/hKmTU.