Zedge Completes $7.7 Million Private Placement
News related to:Zedge, Inc · 2 min read
NEW YORK, NY, September 30, 2026 /CourierPR/ -- Zedge, Inc., a company that builds and operates creator communities serving 20 million monthly active users, has completed a $7.7 million private placement, raising $7.675 million in aggregate gross proceeds. This funding round, led by Vice Chairman Howard Jonas through Chartwell Holding LLC, an entity in which Jonas and his wife are the sole beneficiaries, marks a significant step in the company's growth strategy.
According to the press release, Zedge issued 2,616,447 shares of Class B common stock and warrants to purchase 2,354,803 shares of Class B common stock. Chartwell Holding LLC invested $6.5 million and received 2,218,430 shares of Class B common stock and warrants to purchase 1,996,587 shares. Board member Elliott Gibber and another company stockholder also participated in the private placement.
The warrants issued to Chartwell and Mr. Gibber have an exercise price of $3.22 per share, while the warrants issued to the remaining purchaser have an exercise price of $3.28 per share. These warrants become exercisable only after the requisite stockholder approval under NYSE American rules and the applicable six-month period following issuance.
Zedge intends to use the additional capital to accelerate the growth of DataSeeds.AI and broaden its capabilities while maintaining financial flexibility and supporting opportunities across its existing businesses. The company's goal is to build DataSeeds into a core business by expanding its team, capabilities, and reach across the AI data value chain.
Zedge's flagship platform, Zedge Marketplace, is a leading marketplace for mobile personalization content and a core profit and cash flow generator. DataSeeds.AI, the company's B2B AI data business, provides managed, multimodal data creation and related services for AI developers and enterprises. DataSeeds draws on Zedge's proprietary creator communities, including Zedge Marketplace contributors and the GuruShots photography community, as well as broader crowdsourcing and a network of production partners to deliver rights-cleared data built to customer specifications.
Forward-looking statements in the release, including those related to the company's future growth and financial performance, are subject to numerous important factors that could cause actual results to differ materially. These statements are made in accordance with the Private Securities Litigation Reform Act of 1995.