Z Squared Raises $15.3M In Capital Under Its Standby Equity Purchase Agreement, To Advance AI Infrastructure And Acquisition Strategy

Z Squared Inc. (NASDAQ: ZSQR ), a digital infrastructure company expanding into AI infrastructure, today announced that it has raised approximately $15.3 million in capital through equity sales under its standby equity purchase agreement.

The Company incurred no new debt in connection with the financing and continues to maintain virtually no corporate debt.

The Company intends to use the net proceeds to support its acquisition and conversion strategy and for general corporate purposes.

The all equity structure preserves the Company's balance sheet and conserves cash for operational deployment as it executes its previously announced acquisition targets and broader Phase 1 buildout.

The arrangement used for this financing predates the Company's current strategy.

With this financing, the Company has completed its use of the legacy equity financing arrangement, strengthening its balance sheet as it advances its AI infrastructure strategy.

The financing is described further in the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission.

Z Squared's strategy is to acquire sites where power is already flowing and convert them into AI-ready capacity in months rather than years.

The Company has signed binding letters of intent to acquire Skycore Digital with approximately 24 MW of energized capacity and a defined path to up to 42 MW and a majority membership interest in Paradox Data LLC, anchored by the Union County Campus in El Dorado, Arkansas.

The Company is actively evaluating additional acquisition opportunities, though no guarantees can be made that any will be identified, or if identified, that they are on preferred terms.

The Phase 1 objective is 100 MW of AI-ready capacity across multiple U.S. sites.