Hitek Global Inc. (NASDAQ: HKIT) entered a definitive agreement for an $8 million registered direct offering. The company is selling 4,000,000 Class A ordinary shares to institutional investors. Investors will pay a combined purchase price of $2.00 per share and warrant.
Each warrant features an exercise price of $4.5678. One warrant is exercisable for 3.8 shares. The offering is scheduled to close on or about June 3, 2026.
Hitek Global shares have declined 98% year-to-date. This capital raise follows a separate $3 million offering completed in March. Shares fell sharply following the announcement of the dilutive deal.
The China-based IT provider recently implemented reverse stock splits to manage extreme price volatility. Closing remains subject to customary conditions.