Jeffs’ Brands Ltd (NASDAQ: JFBR) experienced a noteworthy positive shift in its stock value during the extended trading session, witnessing a 5.47% increase to reach $3.28. This after-hours surge partially mitigated the earlier loss of 7.72% in the regular trading session, concluding with JFBR stock closing at $3.11. The upward movement in the extended session was in response to a strategic equity move made by the company.
In an official announcement, Jeffs’ Brands (JFBR) disclosed its involvement in securities purchase agreements with specific institutional investors, securing a total of $7.275 million in gross cash proceeds. The company articulates its intention to allocate the net proceeds derived from this private placement toward working capital, general corporate needs, and potential acquisitions. The anticipated closing date for this private placement is slated for approximately January 29, 2024, contingent upon the fulfillment of standard closing conditions.
Furthermore, Jeffs’ Brands shared recent developments involving its wholly-owned subsidiary, Fort Products Ltd. The subsidiary successfully entered into an exclusive distribution agreement with a prominent manufacturer specializing in solar panel protection and related products. As per the terms of the agreement, Fort Products is bestowed with exclusive rights for the independent sale and marketing of these products, sans any territorial restrictions.
Fort Products has already demonstrated notable success in retailing these products on the Amazon Marketplace UK. Building on this accomplishment, both Fort Products and the manufacturer have decided to broaden their collaboration, solidifying their partnership through an exclusive distribution agreement. The subsidiary, under the umbrella of JFBR, is now poised to promote and distribute these products not only on the global Amazon Marketplace but also as a wholesaler.
Recognizing the escalating demand for safeguarding solar panels from pests, Fort Products, a leading brand in the pest control market, strategically expanded into the solar panel protection sector. The exclusive distribution agreement and the proven success of similar products underscore Fort Products’ adaptability and unwavering commitment to addressing the dynamic needs of the evolving market.
