Focus Universal Secures $4 Million in Private Placement for IoT and 5G Technology Development

Focus Universal Inc. (NASDAQ: FCUV) announced the closing of a private placement generating approximately $4.0 million in gross proceeds. The company, which specializes in patented hardware and software design technologies for the Internet of Things (IoT), 5G, and AI-driven SEC financial reporting automation, priced the offering at $3.58 per Common Unit under Nasdaq market rules. This capital infusion represents a significant financial milestone that enables continued development of the company's five disruptive technology platforms with 26 patents and patents pending.

The transaction involved the sale of 1,117,318 Common Units, each consisting of one share of Common Stock or one Pre-Funded Warrant, along with Series A and Series B PIPE Common Warrants. The Pre-Funded Warrants are immediately exercisable, while the Series A Common Warrants expire in 24 months and the Series B Common Warrants expire in 60 months, both with an exercise price of $3.33 per share. According to the company's announcement, the net proceeds will be used for general corporate purposes and working capital, supporting ongoing operations and technology advancement. The private placement closed on April 7, 2026, with Aegis Capital Corp. acting as exclusive placement agent.

This financing matters because it provides Focus Universal with essential resources to accelerate development of technologies that address critical industry challenges. The company's patented platforms have the potential to reduce costs, shorten product development timelines, and decrease energy usage while improving range, speed, efficiency, and security in hardware and software design. As detailed in their corporate information available at https://www.focusuniversal.com, these innovations target the growing IoT and 5G markets where efficient, secure technology solutions are increasingly in demand.

The securities were offered only to accredited investors in a private placement transaction not involving a public offering and have not been registered under the Securities Act of 1933. The company has agreed to file registration statements with the SEC covering resale of the Common Stock and shares issuable upon exercise of the warrants, as outlined in the registration rights agreement with investors. This financial move positions Focus Universal to strengthen its market position in competitive technology sectors where substantial research and development investment is required to maintain innovation leadership.