Wearable Devices Secures $5.68 Million Through Warrant Exercise Agreement

Wearable Devices Ltd. (NASDAQ: WLDS) announced it has entered into a warrant inducement agreement with an existing institutional investor, resulting in the immediate cash exercise of warrants to purchase 3,322,000 ordinary shares at $1.71 per share. This transaction generates approximately $5.68 million in gross proceeds for the company, providing significant capital infusion as the company continues to develop its AI-based wearable gesture-control technology. A.G.P./Alliance Global Partners served as exclusive financial advisor for this transaction.

In exchange for the full cash exercise, the company will issue new unregistered warrants to purchase up to 5,813,500 ordinary shares at $1.86 per share. These warrants will become exercisable upon shareholder approval and will expire five years thereafter. The closing of this transaction is expected on or about December 1, 2025, subject to customary closing conditions. This financial arrangement demonstrates continued institutional confidence in Wearable Devices' technology and growth trajectory.

The company's technology represents a significant advancement in human-computer interaction through its AI-powered neural input touchless technology. By leveraging proprietary sensors, software, and advanced AI algorithms, Wearable Devices' consumer products – the Mudra Band and Mudra Link – are defining the neural input category for both wrist-worn devices and brain-computer interfaces. These products enable touch-free, intuitive control of digital devices using gestures across multiple operating systems, addressing growing demand for more natural user interfaces.

Wearable Devices operates through a dual-channel model of direct-to-consumer sales and enterprise licensing and collaborations. This approach allows the company to serve both individual consumers seeking enhanced experiences in gaming, productivity, and extended reality applications, as well as enterprise partners requiring advanced input solutions for immersive and interactive environments. The company's technology has applications ranging from augmented reality and virtual reality to smart environments, positioning it at the intersection of several rapidly growing technology markets.

The capital raised through this warrant exercise agreement provides Wearable Devices with resources to accelerate product development, expand market reach, and strengthen its position in the competitive wearable technology space. As the company continues to set standards for neural input in the extended reality ecosystem, this financial backing supports its mission to shape the future of seamless, natural user experiences. Additional information about the company is available through its corporate communications channels, including updates relating to WLDS in the company's newsroom at https://ibn.fm/WLDS.