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DPW Holdings, Inc. to Issue $50M in 3-Year Non-Convertible Promissory Notes Paying Interest Monthly in a Regulation A Offering

985 Days ago

Newport Beach, Calif, May 13, 2019 (GLOBE NEWSWIRE) -- DPW Holdings, Inc. (NYSE American: DPW), a diversified holding company (the “Company,” or “DPW”), today announced that the Company anticipates offering 3-year non-convertible promissory notes (“Notes”) to raise new capital to be used for various purposes including the funding of a variety of loans through its wholly owned subsidiary, Digital Power Lending, LLC (“DPL”), including loans to related parties. The Company anticipates that the Notes will accrue annualized interest of between 5% and 15% that will be paid rata monthly and will be offered on a continuous basis, in each case as determined by the Company in its sole discretion. The Notes will be made available only at www.monthlyinterest.com, an online lending platform operated by DPL, a licensed California Finance Lender. DPL recently announced the completion of its beta test of its lending platform by successfully executing a series of commercial loans to publicly traded companies.

The Company has filed an Offering Statement on Form 1-A pursuant to Regulation A promulgated by the Securities and Exchange Commission (the “Commission”), pursuant to which the Notes will be offered and sold once the Commission has qualified the Offering Statement. No Notes will be offered for sale before such qualification has occurred.

The Company stated that it anticipates the net proceeds might be used to fund the expansion of Digital Farms, Inc., its wholly owned subsidiary, as well as fund the acquisitions of equity in other companies, whether public or private. The net proceeds may also be used to fund the repayment of the Company’s debts, to repurchase DPW’s shares of common stock and estimates approximately 5% of the proceeds might be used for general corporate purposes, including expenses associated with this offering. The Company plans gross proceeds from the sale of its securities to be no more than $50,000,000 on an annual basis and estimates the net proceeds from the sale of its securities, after deducting estimated commissions and expenses, will be approximately $49,500,000, assuming the expenses to execute and support such activities do not exceed $500,000. The Company’s management team retains sole discretion regarding the use of the net proceeds and will determine the ratio of their allocation between loan investments, acquisitions, the other purposes noted above and general corporate purposes. General corporate purposes may include, but are not limited to, the cost of outside legal and accounting expenses, employee payroll and associated costs, rent and real estate expenses, utilities, computer hardware and software, and promotion and marketing.

The Company will announce when the Offering Circular has been circulated, assuming such qualification occurs, and therefore when these Notes are available for offer and sale and additional details of the terms, conditions and other information regarding the Notes and their purchase by retail, accredited, institutional and other investors.

For more information on DPW Holdings and its subsidiaries, the Company recommends that stockholders, investors and any other interested parties read the Company’s public filings and press releases available under the Investor Relations section at www.DPWHoldings.com or available at www.sec.gov.

About DPW Holdings, Inc.

DPW Holdings, Inc. is a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies that hold global potential. Through its wholly owned subsidiaries and strategic investments, the Company provides mission-critical products that support a diverse range of industries, including defense/aerospace, industrial, telecommunications, medical, crypto-mining, and textiles. In addition, the Company owns a select portfolio of commercial hospitality properties and extends credit to select entrepreneurial businesses through a licensed lending subsidiary. DPW’s headquarters are located at 201 Shipyard Way, Suite E, Newport Beach, CA 92663; www.DPWHoldings.com.

Forward Looking Statements

This press release contains “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov and on the Company’s website at www.DPWHoldings.com.

IR@DPWHoldings.com or 1-888-753-2235.

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