HyreCar Announces $12.25 Million in Financing to Further Accelerate Growth and Terminates “At-the-Market” Offering

LOS ANGELES, Jan. 06, 2023 (GLOBE NEWSWIRE) — HyreCar Inc. (NASDAQ:HYRE), the ride-sharing company that offers food and delivery services as well as carsharing, announced today that it raised $12.25million in financing. An initial tranche of $4.25m has been secured. A second tranche, of $8 million, is currently being approved by shareholders. The first quarter 2023 will see the financing. The initial tranche of securities will not exceed $1 million and will be registered securities. They will be issued using an S-3 registration statement. Restricted securities from the second and initial tranches will be issued as a private placement and will be registered with U.S. Securities and Exchange Commission under an S-1 registration statement.

The Company simultaneously terminated the balance of its “at-the-market” equity offering program with D.A. Davidson & Co. (the “ATM Offering”) of $6.2 million from the $7.9 million facility.

The additional capital will accelerate ongoing growth initiatives, including the Company’s joint venture with AmeriDrive to purchase cars through a $100 million revolving line of credit with Credit Suisse and Medalist Partners. The $25 million credit line has been used to purchase more than 1,300 vehicles. There are also 1,000 vehicles that have been purchased for exclusive listing on HyreCar.

The Company’s Interim CEO and CFO, Eduardo Iniguez, arranged the financing. Northland Securities, Inc. acted as the sole Placement agent and D.A. for the registered portion. Davidson & Co. served as Financial Advisor.

Securities were offered as a private placement pursuant to Section 4(a),(2) of Securities Act of 1933, as modified (the “Act”) and/or Rule 506[b] of Regulation D and/or Regulation S, respectively. They have not been registered under either the Act or any applicable state securities laws. The securities cannot be reoffered in the United States without an effective registration statement, exemption from the registration requirements of Act and applicable state securities laws.

This press release is not an offer to sell securities or the solicitation thereof. Nor shall it be sold in any state where such an offer, solicitation, or sale would be illegal prior to registration or qualification under securities laws.

HyreCar
HyreCar Inc. (NASDAQ HYRE), is a national carsharing platform that offers ridesharing, food delivery, and package delivery through its proprietary technology platform. HyreCar Inc. is a pioneer in Mobility As a Service (MaaS). It works with vehicle owners, dealers, rental agencies and OEMs to help them participate in the latest mobility trends. HyreCar transforms the industry through a secure, reliable, and safe marketplace. Visit hyrecar.com for more information.

Forward-looking statements
Statements in this release concerning HyreCar Inc.’s (“HyreCar” or the “Company”) future expectations and plans, including, without limitation, HyreCar’s future earnings, partnerships and technology solutions, its ability to add and maintain additional car listings on its platform from car dealers, and consumer demand for cars to be used for ridesharing, may constitute forward-looking statements for the purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995 and other federal securities laws and are subject to substantial risks, uncertainties and assumptions. You should not place reliance on these forward-looking statements, which include words such as “could,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “may,” “continue,” “predict,” “potential,” “project” or similar terms, variations of such terms or the negative of those terms. The Company believes the expectations expressed in forward-looking statements to be reasonable but cannot guarantee their fulfillment. HyreCar’s expectations may not be realized and HyreCar’s beliefs may prove incorrect. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including, without limitation, market conditions and the factors described in the section entitled “Risk Factors” in HyreCar’s most recent Annual Report on Form 10-K and HyreCar’s other filings made with the U. S. Securities and Exchange Commission. All forward-looking statements reflect only the date on which they were made. Consequently, forward-looking statements should be regarded solely as HyreCar’s current plans, estimates, and beliefs. Forward-looking statements should not be relied upon by investors. HyreCar cannot predict future events, levels, performance, achievements, or results. HyreCar disclaims all obligation and expressly declines to update, publish, or revise forward-looking statements in order to reflect new information or future circumstances.

Investors:
Scott Arnolds
CORE IR
[email protected]

Media:
Allie Potter
Skyya PR – HyreCar
[email protected]