Veritone, Inc., a leader in human-centered enterprise AI solutions, announced on September 10, 2025, the pricing of a $25 million underwritten public offering of 9,505,705 shares of its common stock at $2.63 per share. The offering is expected to close on September 12, 2025, with net proceeds intended for working capital, debt service, and general corporate purposes.
Offering Details: Veritone prices $25M offering of 9,505,705 shares at $2.63 each.
Additional Option: Underwriters have a 30-day option to purchase 1,425,855 more shares.
Stock Performance: VERI at $2.901 on September 11, 2025, down from $3.64 previous close (finance card above).
Use of Proceeds: Funds to support working capital, debt repayment, and corporate purposes.
Underwriter: Needham and Company serves as sole bookrunning manager.
Market Context: Offering follows a 54% stock price increase over the past six months.
Veritone’s offering, priced at $2.63 per share, is expected to generate approximately $25 million in gross proceeds, with net proceeds of about $23.5 million after deductions. The underwriters’ option for an additional 1,425,855 shares could add roughly $3.75 million if fully exercised. As per the finance card above, VERI’s stock closed at $2.901 on September 11, 2025, reflecting a 20.3% drop from the previous day’s close of $3.64, likely due to market reactions to the share dilution. Despite this, Veritone’s stock has shown strong momentum, with a 54% price return over the past six months, as noted by Investing.com, and a year-to-date increase from $3.59 in September 2024 to $2.901 in September 2025.
The net proceeds will bolster Veritone’s financial flexibility, supporting its aiWARE™ platform, which orchestrates machine learning models for media, entertainment, public sector, and talent acquisition industries. “Veritone currently intends to use the net proceeds from the offering for working capital and general corporate purposes including, but not limited to, debt service and repayment of indebtedness,” per the announcement. This capital raise follows a $10 million equity raise in Q2 2025, including $1 million from the CEO, indicating ongoing efforts to strengthen the balance sheet amid profitability challenges, despite a healthy 68% gross profit margin.
The offering price of $2.63, below the recent closing price of $3.64, suggests a discounted issuance, potentially signaling urgency to raise capital but risking further stock price pressure due to dilution. Veritone’s market cap, reported at $145.36 million (finance card) versus $212 million in some sources, raises questions about valuation consistency, possibly due to pre-offering calculations. While the funds will support growth, execution risks in debt management and scaling AI solutions in a competitive market remain critical. The 54% stock gain over six months reflects investor optimism, but short-term volatility post-offering warrants caution.
Veritone (NASDAQ: VERI) builds human-centered enterprise AI solutions. Serving customers in the media, entertainment, public sector, and talent acquisition industries, Veritone’s software and services empower individuals at the world’s largest and most recognizable brands to run more efficiently, accelerate decision making, and increase profitability. Veritone’s leading enterprise AI platform, aiWARE™, orchestrates an ever-growing ecosystem of machine learning models, transforming data sources into actionable intelligence.
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