Wearable Devices Ltd. (NASDAQ: WLDS, WLDSW) has secured $4 million in funding through a registered direct offering, marking a significant financial milestone for the AI-powered wearable technology company. The transaction involved the sale of 1,000,000 ordinary shares at $4.00 per share to a single institutional investor, priced at-the-market under Nasdaq rules, with closing anticipated on or about September 12, 2025.
This capital infusion comes at a critical time for the wearable technology sector, which is experiencing rapid growth driven by increasing demand for touchless interaction solutions. The funding will enable Wearable Devices to accelerate development of its neural input interface technology, particularly important as extended reality applications gain mainstream adoption. The company's innovative approach to touchless sensing represents a potential paradigm shift in how users interact with connected devices.
In a concurrent private placement, the company will issue unregistered warrants to purchase up to 1,000,000 additional ordinary shares at the same $4.00 exercise price. These warrants are immediately exercisable and will expire five years from issuance, providing the investor with additional upside potential while giving the company access to future capital if the warrants are exercised. The transaction structure demonstrates institutional confidence in Wearable Devices' long-term growth prospects.
The company's flagship product, the Mudra Band for Apple Watch, integrates proprietary AI technology and algorithms into a functional wristband that identifies subtle finger and wrist movements, enabling touchless interaction with connected devices. This technology has significant implications for various industries, including healthcare, gaming, and enterprise applications where hands-free operation is increasingly valuable. The company also offers a B2B version of this technology available through licensing arrangements, expanding its market reach beyond consumer applications.
For investors and industry observers, this financing round signals growing institutional interest in AI-powered wearable technology companies. The successful completion of this offering at market price suggests confidence in Wearable Devices' valuation and business strategy. The additional capital will support the company's commitment to creating disruptive technology that could set new standards for input methods in the extended reality landscape, one of the fastest-growing segments in the technology sector. More information about the company's developments is available at https://ibn.fm/WLDS.
