Dataram Raises $503,000 in Series D Funding

Dataram Corporation announced that on August 3, 2016, it executed definitive purchase agreements with certain accredited investors, pursuant to which the company agreed to sell 3,699 shares of its Series D Preferred Stock at a price of $136.00 per share. 

Each share of Series D Preferred Stock is convertible into 100 shares of common stock at a conversion price of $1.36 per share. The shares were priced based on market close on August 2, 2016. The company closed on the sale of the Series D Preferred Stock on August 4, 2016 with gross proceeds to the company of approximately $503,000.

The Series D Stock is convertible into common shares at the ratio of 100 common shares for every Series D share. The shares are eligible for a special onetime dividend. No warrants were issued as part of the transaction.

“This capital provides us with additional resources to expand rapidly into new global markets as well as help execute on the recently announced acquisition of U.S. Gold. It is a unique and valuable opportunity to work with investors who support the company and take a long-term, strategic approach in the investment in Dataram,” said Dave Moylan, chairman and CEO. “The continued support from our existing and new investors is greatly appreciated as they provide us the greatest strategic latitude for the business as we continue to optimize during this time of transformation.”

The proceeds will be used to invest in international growth and for fees incurred in connection with the acquisition of U.S. Gold.

Over the last 12 months, Dataram’s international revenue increased approximately 10%. The company continues to seek global expansion and actively pursues new markets overseas.

The U.S. Gold transaction, announced in June 2016, is expected to close later this year, subject to usual and customary conditions, including the approval of our shareholders.