SCHEDULE 13G: Empery Asset Management Discloses 9.99% Passive Stake in SOBR Safe, Inc.

Empery Asset Management, LP and its managing members have disclosed a passive beneficial ownership of 9.99% in SOBR Safe, Inc. common stock, primarily through warrants.

Summary

• Empery Asset Management, LP, along with Ryan M. Lane and Martin D. Hoe, collectively referred to as 'Reporting Persons,' have filed a Schedule 13G indicating their beneficial ownership in SOBR Safe, Inc.
• The Reporting Persons beneficially own 102,324 shares of SOBR Safe, Inc. Common Stock.
• This ownership represents 9.99% of the outstanding Common Stock, calculated based on 921,949 shares outstanding as of November 13, 2024.
• The shares are issuable upon the exercise of Warrants held by funds managed by Empery Asset Management, LP (the 'Empery Funds').
• A 'Blocker' provision in the Warrants prevents the Reporting Persons from exercising them to the extent that their beneficial ownership would exceed 9.99% of the outstanding Common Stock.
• The filing explicitly states that the securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing control of the issuer.

Sentiment

Score: 6

Explanation: The sentiment is moderately positive. While it's a factual disclosure, a significant passive stake by an institutional investor can be viewed favorably as a vote of confidence, even with the blocker.

Positives

• A significant institutional investor, Empery Asset Management, LP, has taken a substantial passive stake, potentially signaling confidence in SOBR Safe, Inc.
• The investment is structured through warrants, which could provide future capital to the company upon exercise, though currently limited by a 9.99% ownership blocker.

Negatives

• The 'Blocker' provision limits the immediate exercise of all warrants, preventing the Reporting Persons from increasing their stake beyond 9.99% without further disclosures or changes.

Risks

• The beneficial ownership is primarily through warrants, meaning the shares are not yet fully owned and their exercise is subject to the terms of the warrants, including the 9.99% ownership blocker.

Future Outlook

The document does not provide specific forward-looking statements or guidance from the company or the reporting persons beyond the nature of their passive investment.

Industry Context

This filing indicates a significant passive investment by an asset management firm in SOBR Safe, Inc., a company likely involved in safety or technology given its name. Such investments are common in the market, reflecting an investor's belief in the long-term potential of a company within its industry, without seeking to influence control.

Comparison to Industry Standards

• This Schedule 13G filing is a standard regulatory disclosure for investors acquiring more than 5% but less than 20% of a company's shares with a passive intent.
• The 9.99% ownership stake is a common threshold for passive investors to avoid triggering more stringent reporting requirements (like Schedule 13D) or certain corporate governance implications.
• No specific comparable companies or projects are mentioned in this filing.

Stakeholder Impact

• Shareholders: The disclosure of a significant passive stake by an institutional investor may be viewed positively, potentially increasing investor confidence and market liquidity.
• Company Management: Awareness of a large passive shareholder may influence strategic decisions, though the investor explicitly states no intent to influence control.

Key Dates

Keywords

SOBR Safe Inc., Empery Asset Management, Schedule 13G, Beneficial Ownership, Common Stock, Warrants, Passive Investment, SEC Filing, Institutional Investor, Equity Stake