Linkage Global Maps $20 Million PIPE Around AI Hardware Push

A proposed $5 million equity injection would give Linkage Global Inc. a near-term funding target, but the larger promise behind the deal depends on finding an AI hardware company to buy.

The Nasdaq-listed company, which trades under UZX, signed a non-binding letter of intent with Hong Kong-based Capital Finance Limited for a two-tranche private investment in public equity totaling as much as $20 million. The first tranche would provide $5 million through newly issued Class A ordinary shares.

The subscription price is set at the higher of $3 a share or 105% of Linkage Global’s closing price on the trading day before the financing closes. At the $3 floor, Capital Finance would receive about 1.67 million shares. The earliest targeted closing date is September 30, 2026, with a definitive securities purchase agreement expected within 10 business days of signing the LOI.

The second tranche would be worth up to $15 million, but it is not simply an extension of the first financing. Within 30 business days after the initial closing, Linkage Global and Capital Finance plan to identify an AI hardware manufacturing target with an estimated enterprise value between $20 million and $50 million. Capital Finance would fund the second investment within five business days after an acquisition agreement is executed.

That structure makes the headline amount conditional twice over. The first tranche still requires definitive documentation and customary closing conditions. The second requires a suitable acquisition target and a signed purchase agreement.

Linkage Global said the proposed financing would not include warrants, convertible notes, options, restricted stock units or anti-dilution adjustments. Even so, both tranches would increase the company’s share count. The agreement caps Capital Finance’s combined ownership at 49% of Linkage Global’s then-outstanding Class A shares when the second issuance occurs.

The financing would arrive as Linkage Global tries to reposition itself around AI-enabled wellness products and hardware. Its fiscal 2025 revenue fell 50.45% to $5.1 million from $10.3 million a year earlier, according to the company’s annual report.

For shareholders, the appeal is fresh capital and a potential foothold in AI hardware. The catch is that neither the money nor the acquisition is committed yet.