Brand Engagement Network (NASDAQ:BNAI) stock jumped Thursday after the company terminated a $50 million standby equity purchase agreement.
Move To Reduce Potential Dilution
The termination of this agreement, which previously allowed the company to sell its common stock up to the specified amount, was effective immediately, leaving no outstanding obligations.
This move is part of the company’s broader strategy to strengthen its balance sheet and reduce potential dilution. The company recently completed its first installment of a $1.52 million premium private placement.
The decision to terminate the equity purchase agreement was made to maintain a disciplined capital strategy and a clean capital structure as the company scales revenue-generating deployments. The company has approximately 5,834,052 shares outstanding, with about 3,377,446 in the public float.
This strategic move follows a 1-for-10 reverse stock split that became effective in December 2025, which also contributed to the company’s financial realignment.
Brand Engagement Network has utilized the facility for only one drawdown since the reverse stock split, and the company anticipates additional closings of its private placement in February and March 2026.
“We remain focused on maintaining a disciplined capital strategy and a clean capital structure as we scale revenue-generating deployments,” said CEO Tyler Luck.
It’s worth noting that Brand Engagement Network stock has appeared on Edwin Dorsey's StopNasdaqChinaFraud.com website. The stock crashed nearly 80% last week before bouncing back slightly in what was very peculiar trading action.
BNAI Moves Higher Thursday
BNAI Price Action: Brand Engagement Network shares were up 7.27% at $23.89 at the time of publication on Thursday, according to Benzinga Pro data.
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