InvestmentApr 28, 2026, 04:32 PM
DRCT Enters $50M Common Stock Purchase Agreement with Roth
AI Summary
Direct Digital Holdings, Inc. has entered into a Common Stock Purchase Agreement with Roth Principal Investments, LLC, allowing the company to sell up to $50,000,000 of its Class A common stock. The company retains the discretion to initiate sales during an Investment Period, with purchases permitted across various trading hours. The agreement is subject to an Exchange Cap of 19.99% of outstanding shares and a 4.99% beneficial ownership limitation for the investor. A Registration Rights Agreement was also signed to facilitate the resale of these shares.
Key Highlights
- Direct Digital Holdings, Inc. can sell up to $50,000,000 of common stock to Roth Principal Investments, LLC.
- The agreement includes an Exchange Cap of 19.99% (140,185 shares) of outstanding common stock.
- A Beneficial Ownership Limitation of 4.99% of outstanding common stock applies to the investor.
- The company can initiate purchases at its sole discretion during the Investment Period.
- Purchases can occur during market open, intraday, pre-market, and post-market hours.
- A Registration Rights Agreement was also executed for the resale of the shares.
- A Commitment Fee is payable by the Company to the Investor.