Wearable Devices Ltd. Secures $5.68 Million Through Warrant Inducement Agreement

Wearable Devices Ltd. (NASDAQ: WLDS) has entered into a warrant inducement agreement with an existing institutional investor, resulting in the immediate cash exercise of warrants to purchase 3,322,000 ordinary shares at $1.71 per share. This transaction generates approximately $5.68 million in gross proceeds for the company, with A.G.P./Alliance Global Partners serving as exclusive financial advisor for the arrangement. The closing of this agreement is expected on or about December 1, 2025, subject to customary closing conditions.

In exchange for the full cash exercise of existing warrants, Wearable Devices will issue new unregistered warrants to purchase up to 5,813,500 ordinary shares at $1.86 per share. These new warrants will become exercisable upon shareholder approval and will expire five years thereafter. This financial maneuver provides the company with immediate capital while creating a potential future equity opportunity for the participating investor.

The significance of this $5.68 million capital infusion extends beyond immediate financial metrics for Wearable Devices, a company pioneering human-computer interaction through its AI-powered neural input touchless technology. The company's consumer products, including the Mudra Band and Mudra Link, represent innovative approaches to gesture control technology that could reshape how users interact with digital devices across multiple operating systems. These products enable touch-free, intuitive control through proprietary sensors, software, and advanced AI algorithms.

For the wearable technology industry, this transaction demonstrates continued investor confidence in neural input technologies and their potential applications across growing markets. Wearable Devices operates through a dual-channel model of direct-to-consumer sales and enterprise licensing, positioning its technology for both consumer applications in gaming, productivity, and extended reality (XR), as well as business applications in immersive environments. The company's focus on setting standards for neural input in the XR ecosystem places it at the intersection of several rapidly evolving technology sectors.

The financial implications of this warrant inducement agreement provide Wearable Devices with additional resources to advance its technology development and market expansion efforts. For investors and industry observers, this transaction represents a strategic capital raise that could accelerate the company's growth trajectory in competitive technology markets. The company's ordinary shares and warrants trade on the Nasdaq Capital Market under the symbols "WLDS" and "WLDSW," respectively, with additional information available through the company's newsroom at https://ibn.fm/WLDS.

This financial development occurs as the broader technology sector continues to explore innovative human-computer interfaces, with neural input technologies representing a potentially transformative approach to device interaction. The capital secured through this agreement may enable Wearable Devices to strengthen its position in both consumer and enterprise markets, potentially influencing how users interact with digital environments across various applications. The transaction's structure, involving both immediate capital and future warrant considerations, reflects sophisticated financial planning aimed at balancing current needs with long-term growth objectives.