RestructuringJul 15, 2026, 09:44 AM
Freight Technologies Raises $1.2M, Restructures for Software Focus
AI Summary
Freight Technologies, Inc. announced further steps in its transition to a pure-play software and AI logistics technology company. These actions include additional workforce reductions, scaling back brokerage operations, and raising $1.2 million through Series C Preferred Shares. The company expects these measures to significantly lower operating expenses, reduce debt, and support a higher-margin business model. Fr8Tech also secured a $2.5 million loan in June 2026 to refinance its prior credit facility, consolidating its debt structure.
Key Highlights
- Raised $1.2 million through issuance of 1,200,000 Series C Preferred Shares.
- Expected net cash proceeds of approximately $1.15 million from the offering.
- Secured a $2.5 million loan in June 2026 at 10.0% interest, maturing June 17, 2027.
- Workforce reductions and brokerage operations scaled back to lower operating expenses.
- Expected to incur $0.4 million in total restructuring costs, with $0.2 million in Q2 2026.
- Restructuring expected to be substantially complete by end of Q3 2026.
- Cash and cash equivalents of approximately $285 thousand as of June 30, 2026.
- Short-term debt of approximately $2.5 million as of June 30, 2026.
Price Impact
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