Forward Industries Closes $25M Registered Direct Offering

What Happened

• Forward Industries, Inc. announced it closed a registered direct offering under Form S-3, selling 3,125,000 shares of common stock at $8.00 per share for gross proceeds of $25,000,000. The offering closed on September 24, 2026.
• The Company engaged A.G.P./Alliance Global Partners as exclusive placement agent and agreed to pay a cash fee equal to 5% of gross proceeds and reimburse placement-agent legal expenses up to $50,000.
• The Company stated it intends to use net proceeds to purchase Solana, for working capital, and for general corporate purposes. The company also filed a legal opinion regarding the offering and an updated Description of Securities.

Key Details

• Shares sold: 3,125,000 common shares at $8.00 each.
• Gross proceeds: approximately $25,000,000 (before fees and expenses).
• Placement agent compensation: 5% cash fee of gross proceeds; up to $50,000 in reimbursed legal expenses.
• Post-closing restrictions: 15-day limitations on issuing or agreeing to issue additional common stock or certain variable-rate transactions, subject to limited exceptions.

Why It Matters

• The offering materially increased Forward Industries’ cash resources, which management says will be used partly to purchase Solana (a cryptocurrency) and for general corporate needs — a shift investors should note because allocating proceeds to crypto changes the company’s asset mix and risk profile.
• The 5% placement fee and reimbursed expenses reduce net proceeds; short-term 15-day restrictions limit the company’s ability to issue additional equity immediately after closing.
• Investors should consider the dilution from the new shares and monitor subsequent disclosures about the Solana purchase, use of proceeds, and any further financings.