HUB Cyber Security Signs Investor-Led Private Placement Financing of up to $20 million to Scale-Up Enterprise Intelligence, Crypto Infrastructure, and U.S. Expansion
Financing underscores institutional confidence in HUB's AI-native Secured Data Fabric (SDF) platform, positioning the Company to execute large transformative deals and lead the next era of secure, programmable, and compliant data infrastructure
HUB also announces a 6-month extension of its Senior Secured Debt Facility, providing added balance-sheet flexibility and establishing the conditions for full repayment in the near future
TEL AVIV, Israel, Aug. 27, 2025 (GLOBE NEWSWIRE) -- HUB Cyber Security Ltd. (NASDAQ:HUBC) ("HUB" or the "Company"), a global leader in zero-trust confidential computing and advanced secured data fabric technology, today announced that it has entered into definitive agreements for up to $20 million in a subordinated convertible note private placement financing, with more than 50% led by existing investors. The financing underscores institutional confidence in HUB's strategic vision, market-leading platform, and ability to execute large, transformative enterprise deals. The Company expects to use the proceeds from the financing to reduce debt, accelerate U.S. operations, and expand HUB's AI-powered enterprise intelligence and crypto infrastructure capabilities. The financing is expected to be provided under multiple closings, which are subject to the satisfaction of customary closing conditions.
The financing is structured as subordinated convertible notes, with interest of 4.0% per annum payable quarterly (in cash or shares, subject to certain equity conditions) and with a maturity date of August 2027. The total gross proceeds of the financing are expected to be approximately $20 million, before deducting estimated offering expenses and placement agent fees payable by HUB.
"This financing marks a defining inflection point for HUB," said Noah Hershcoviz, Chief Executive Officer of HUB. "I want to thank all of our shareholders for their support; it underscores their confidence in our strategy and vision. Institutions are now recognizing the critical importance of the core infrastructure we are delivering. As regulatory clarity advances and technology challenges intensify, we believe that HUB is uniquely positioned as the bridge connecting AI, compliance, and digital asset infrastructure. This capital is expected to enable us to scale-up operations, pursue transformative enterprise deals, and expand strategically across North America, driving shareholder value through sustained growth and profitability, backed by a world-class management team and a robust, high-value pipeline of opportunities that we believe positions HUB for sector leadership."
Rodman & Renshaw LLC is acting as sole placement agent for the financing. For further details, please see HUB's Form 6-K filing, which HUB will file with the Securities and Exchange Commission.
At the center of HUB's offering is its AI-native Secured Data Fabric (SDF) platform, the institutional control layer for regulated data. Existing enterprise intelligence systems mostly rely on data lake solutions which cost billions and take years to implement and are often massively vulnerable. HUB's Secured Data Fabric on the other hand, takes merely months to implement, costs only millions to deploy, and is highly secure. HUB's SDF is in use across Tier-1 banks and government contracts, delivering ...
