Cemtrex Announces Conclusion of Rights Offering and Commencement of Subscription Period for Offering of Unsubscribed Units

FARMINGDALE, N.Y., Jan. 23, 2017 — Cemtrex, Inc. (CETX) today announced the conclusion of its subscription rights offering which expired on January 20, 2017, and the commencement of its offering of the unsubscribed units in the rights offering to the public. The Company sold 1,356,187 units in the rights offering raising total gross proceeds of $13,561,870 before payment of the dealer-manager fee and other offering expenses.

In the continuing offering of up to 143,813 unsubscribed units, the Company is offering to sell these units, which were first offered to existing shareholders but were not subscribed for in the rights offering, to both current subscribers as well as all other public investors who have yet to subscribe. Each unit consists of one share of the Company’s series 1 preferred stock, paying cumulative dividends at the rate of 10% of the purchase price per year, and two series 1 warrants, each to purchase one share of the Company’s common stock at $6.31 per share for a period of five years after the issuance date. The purchase price for the units in the public offering remains at $10.00 per unit. The public offering will terminate at 5:00 p.m., Eastern time, on Tuesday, January 31, 2017, unless extended by the Company.

Source Capital Group, Inc., the dealer-manager for the rights offering, as well as broker-dealers who are members of the selling group, have agreed to use their commercially reasonable efforts to place the units in this offering to the public. Current shareholders who did not previously subscribe for units in the rights offering may participate in the public offering by contacting the Company, Source Capital Group or their investment advisor.

The Company has applied to have its series 1 preferred stock traded on the Nasdaq Capital Market, however no assurance can be given that the series 1 preferred stock or the series 1 warrants will be traded on any exchange or market. The Company will announce the trading symbol of the securities if and when available.

The offering will be made pursuant to the Company’s effective registration statement on Form S-1 (Reg. No. 333-213369) on file with the U.S. Securities and Exchange Commission (the “SEC”). This press release is not an offer to sell these securities and is not soliciting an offer to buy these securities. The offering can be made only by a final prospectus. Investors should consider investment objectives, risks, charges, and expenses carefully before investing. The prospectus included in the registration statement contains this and additional information about the Company and investors should carefully read the prospectus before investing. The prospectus may be found by clicking on the following link: http://secfilings.nasdaq.com/filingFrameset.asp?FilingID=11753324&RcvdDate=12/28/2016&CoName=CEMTREX%20INC&FormType=424B2&View=html

Requests for copies of the prospectus and questions relating to the offering may be directed to the information agent, as follows:

Information Agent

Okapi Partners LLC
1212 Avenue of the Americas, 24th Floor
New York, NY 10036
Tel.: (212) 297-0720 or (877) 259-6290 (toll free)
This email address is being protected from spambots. You need JavaScript enabled to view it.

About Cemtrex

Cemtrex, Inc. is a global, diversified industrial and manufacturing company that provides a wide array of solutions to meet today’s technology challenges and is rapidly growing through acquisitions. Cemtrex provides manufacturing services of advanced custom engineered electronics, industrial contracting services, monitoring instruments for industrial processes and environmental compliance, and equipment for controlling particulates, hazardous pollutants and Greenhouse gases used in carbon trading globally. For more information, please visit cemtrex.com.

About Source Capital Group

Source Capital Group, Inc. was founded in 1992 as a boutique investment banking firm specializing in small to medium-sized transactions, and continues to focus its investment banking activities in those segments of the market. Source Capital has grown to include businesses in general securities, emerging market securities, distressed and high yield debt securities, investment management, mortgages and business lending. Source Capital’s mission is to provide excellent service and independent, unbiased and tailor-made advice. Source Capital is registered as a broker-dealer with the SEC and in 50 states, the District of Columbia and Puerto Rico, and is a member of the Financial Industry Regulatory Authority and the Securities Investor Protection Corporation.