NEW YORK – RoboStrategy, Inc. () announced today it has entered into a committed equity facility with Roth Principal Investments, LLC, an affiliate of Roth Capital Partners, according to a press release statement.
The facility allows RoboStrategy to issue and sell up to $2 billion of its common stock to Roth Principal Investments at the company’s discretion, subject to certain conditions. The arrangement does not obligate RoboStrategy to utilize the financing.
On Monday, RoboStrategy filed a resale registration statement with the Securities and Exchange Commission to register 14.1 million shares issuable under the facility. The registration statement has not yet become effective.
RoboStrategy is a closed-end management investment company that focuses on equity positions in robotics and physical artificial intelligence companies. The fund’s portfolio includes companies such as Figure AI, Apptronik, Dyna Robotics, and Dexmate. With a market capitalization of $54.67 million, the company has faced significant headwinds, with shares down 92% over the past year and trading at $0.02. Despite this pressure, the stock appears undervalued according to InvestingPro analysis, which places its Fair Value above current levels—a finding that may interest investors exploring the most undervalued stocks in the market.
Marc Weinstein, Chief Operating Officer, stated the facility is intended to provide financial flexibility for future investments. “We remain disciplined in how and when we access capital, focusing on structures that enhance flexibility while minimizing dilution,” Weinstein said. The company maintains a healthy current ratio of 2.56 and minimal debt, with a debt-to-equity ratio of just 0.02. Yet profitability remains elusive, with the company posting negative EBITDA of $54.87 million and a return on assets of -89.59% over the last twelve months.
The company indicated it may access capital from the facility opportunistically over time. RoboStrategy described the financing arrangement as part of its capital strategy to fund investments in robotics companies.
The facility represents a financing option for the investment fund as it continues to operate in the robotics and artificial intelligence sector.
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