On November 16, 2022, Smart Wires Technology Ltd. closed the transaction. The company has issued 5,000 preferred shares for gross proceeds of $5,000,000 in the transaction. The transaction included participation from returning investors FW Smart Wires Investors, LLC and two funds affiliated with 3x5 Partners, LLC.

The company expects to close its second tranche of 5,000 preferred shares for gross proceeds of $5,000,000 on or around December 1, 2022 and additional funding of up to $10,000,000 for up to 10,000 preferred shares at a purchase price of USD $1,000 per share, subject to the terms and conditions outlined in the agreement. In addition, the investors entered into a warrant agreement with the company whereby each new investor will have an option to purchase additional ordinary shares of the Company at USD $0.01 per share of ordinary share. The investors will receive warrants to purchase 2,558,456.4 ordinary share for every USD $1,000,000 of preferred shares purchased, for an aggregate of up to 51,169,128 ordinary shares.

The warrants expire upon the earlier of ten years from the date of issuance, a sale of the company.