MITCHEL FIELD, N.Y., July  28, 2026  (GLOBE NEWSWIRE) -- Today, Frequency Electronics, Inc. (NASDAQ:FEIM) (&#34;FEI&#34; or the &#34;Company&#34;) announced the commencement of an underwritten public offering of $100

FEIM

Frequency Electronics Announces Proposed Public Offering

FEI Initiates $100 Million Equity Offering to Fund Growth and Capex

<section class="insight" data-version="1">
  <section data-block="information">
    <h3>Information</h3>
    <p>MITCHEL FIELD, N.Y., July  28, 2026  (GLOBE NEWSWIRE) -- Today, Frequency Electronics, Inc. (NASDAQ:FEIM) (&amp;#34;FEI&amp;#34; or the &amp;#34;Company&amp;#34;) announced the commencement of an underwritten public offering of $100</p>
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  <section data-block="ai-summary-paragraph">
    <h3>AI Summary</h3>
    <p>FEI announced an underwritten public offering of $100 million of common stock, with $62.5 million from FEI and $37.5 million from affiliated selling stockholders. A 30-day option could add up to $15 million. Proceeds will fund growth, capital expenditures and working capital, with FEI receiving no proceeds from the selling stockholders.</p>
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  <section data-block="ai-summary-bullets">
    <h3>Key Points</h3>
    <ul><li>FEI launches $100M stock offering. Proceeds fund growth.</li><li>Selling stockholders include Edenbrook funds. Board-affiliated selling adds governance attention.</li><li>Underwriters may exercise a $15M greenshoe. Pricing subject to market conditions.</li><li>Proceeds go to FEI for growth, capex, and working capital. No proceeds to selling stockholders.</li></ul>
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  <section data-block="companies-mentioned">
    <h3>Companies Mentioned</h3>
    <ul><li><strong>Frequency Electronics, Inc. (FEIM)</strong>: Subject of the offering; dilution risk and growth funding.</li><li><strong>Morgan Stanley (MS)</strong>: Lead underwriter; key for price discovery and potential stock moves.</li><li><strong>Edenbrook Value Fund, LP (N/A)</strong>: Selling stockholder; potential insider-related signals.</li><li><strong>Edenbrook Long Only Value Fund, LP (N/A)</strong>: Selling stockholder; potential insider-related signals.</li><li><strong>Jonathan Brolin (N/A)</strong>: Board member affiliated with selling stockholders.</li><li><strong>Craig-Hallum Capital Group LLC (N/A)</strong>: Book-running manager for the offering.</li></ul>
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  <section data-block="category">
    <h3>Corporate Developments</h3>
    <p>Category: Corporate Developments. Fits as a financing event impacting FEIM’s capital structure and potential valuation.</p>
  </section>

  <section data-block="market-moving">
    <h3>Market-Moving</h3>
    <ul><li>Stock offering may cause near term FEIM dilution concerns.</li><li>Affiliated selling stockholders could create selling pressure.</li><li>Underwriter Morgan Stanley adds price discovery and potential volatility.</li><li>Greenshoe option adds potential for additional share supply.</li></ul>
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  <section data-block="key-facts">
    <h3>Key Facts</h3>
    <ul><li>Offering size: $100 million total.</li><li>FEI portion: $62.5 million; selling stockholders: $37.5 million.</li><li>Greenshoe: up to $15 million.</li><li>Registration effective: July 21, 2026.</li><li>Lead book-running managers: Morgan Stanley; Craig-Hallum.</li><li>FEI will not receive proceeds from selling stockholders.</li></ul>
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  <section data-block="trading-thesis">
    <h3>Trading Thesis</h3>
    <p>Near-term dilution risk weighs on FEIM; long-term upside hinges on deploying proceeds effectively over 12–24 months.</p>
  </section>
</section>


<link type="text/css" rel="stylesheet" href="https://www.globenewswire.com/styles/gnw_nitf.css"></link><p align="left">MITCHEL FIELD, N.Y., July  28, 2026  (GLOBE NEWSWIRE) -- Today, Frequency Electronics, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/quote/FEIM">FEIM</a>) ("FEI" or the "Company") announced the commencement of an underwritten public offering of $100 million of shares of its common stock. FEI is offering $62.5 million of shares of common stock, and Edenbrook Value Fund, LP and Edenbrook Long Only Value Fund, LP, affiliates of Jonathan Brolin, a member of our board of directors, are offering $37.5 million of shares of common stock, in the aggregate, as selling stockholders. In addition, FEI intends to grant the underwriters a 30-day option to purchase from FEI up to an additional $15 million of shares of common stock at the public offering price, less underwriting discounts and commissions. The offering is subject to market conditions and other factors, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. FEI expects to use the net proceeds it receives from the offering to fund additional growth opportunities, including for capital expenditures, working capital and other general corporate purposes. FEI will not receive any proceeds from the sale of any shares of common stock by the selling stockholders.</p>  <p align="justify">Morgan Stanley is acting as lead book-running manager and Craig-Hallum is acting as book-running manager for the offering.</p>  <p align="left">A registration statement relating to these securities was filed with the U.S. Securities and Exchange Commission (the "SEC") and declared effective on July 21, 2026. Copies of the registration statement can be accessed through the SEC’s website free of charge at <a href="https://www.globenewswire.com/Tracker?data=TfRmG3aQMgBN51PPwm32o8lGSPcr8k7PE3EmJWB18CHCW5r1VQ_YXwNh511LZlaGesUuRnt0Ay5c6a1tWq1-tg==" rel="nofollow" target="_blank">www.sec.gov.</a> The offering will be made only by means of a prospectus supplement and an accompanying prospectus that form a part of the registration statement. A preliminary prospectus supplement and the accompanying prospectus related to the offering will be filed with the SEC and will be available free of charge by visiting EDGAR on the SEC’s website at <a href="https://www.globenewswire.com/Tracker?data=TfRmG3aQMgBN51PPwm32o-grkZEKrKr86YB-wXhOLK419fEMcWJ8pUD5YSLbXi_Jv3ehDM0KNRiiFaU04REDGw==" rel="nofollow" target="_blank">www.sec.gov.</a> Copies of the preliminary prospectus supplement and the accompanying prospectus can also be obtained, when available, free of charge from the lead book-running manager for the offering: Morgan Stanley &amp; Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, New York 10014, or by email at prospectus@morganstanley.com. The final terms of the offering will be disclosed in a final prospectus supplement to be filed with the SEC.</p>  <p align="left">This press release does not constitute an offer to sell or the solicitation of an offer to buy securities, and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.</p>  <p><strong><u>About Frequency Electronics</u></strong></p>  <p>Frequency Electronics, Inc. (FEI) is a world leader in precision time and frequency generation technology, which is incorporated into commercial and U.S. Government satellites, Command, Control, Communication, Computer, Intelligence, Surveillance and Reconnaissance ("C4ISR"), and Electronic Warfare ("EW") systems. Its technology is used for a wide range of space and non-space applications. FEI has received over 100 awards of excellence for achievements in providing high performance electronic assemblies for over 150 space and DOW programs. The Company invests significant resources in research and development to expand its capabilities and markets.</p>  <p><strong><u>Forward-Looking</u></strong> <strong><u>Statements</u></strong></p>  <p>Certain statements made in this release that are not statements of historical or current facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding FEI’s expectations regarding the completion of the proposed offering. Forward-looking statements involve known and unknown risks and uncertainties and no assurance can be given that the proposed offering discussed above will be consummated on the terms described or at all. Completion of the proposed offering and the terms thereof are subject to numerous factors, many of which are beyond the control of FEI, including market conditions, failure of customary closing conditions and the risk factors and other matters set forth in its periodic filings with the SEC. The forward-looking statements included in this press release are made only as of the date of the statement. FEI undertakes no obligation to update or review any forward-looking statements made by management or on its behalf, whether as a result of future developments, subsequent events or circumstances or otherwise.</p> <table style="border-collapse: collapse; width:100%; border-collapse:collapse ;"><tr><td style="max-width:25%; width:25%; min-width:25%;">Contact information:</td><td style="max-width:75%; width:75%; min-width:75%;">Dr. Thomas McClelland, President and Chief Executive Officer;</td></tr><tr><td> </td><td>Steven Bernstein, Chief Financial Officer</td></tr><tr><td> </td><td> </td></tr><tr><td colspan="2">TELEPHONE: (516) 794-4500 EXT.5000<br></br></td></tr></table> <p><br></br></p> <img alt="" class="__GNW8366DE3E__IMG" src="https://www.globenewswire.com/newsroom/ti?nf=OTc5OTY2NSM3NzQ3MDI0IzIwMjc3MDI="></img> <br></br><img alt="" src="https://ml.globenewswire.com/media/MTAwMmMxZWYtOTUxMC00NmJkLWJhODgtOWU1M2RkNmUxZGYzLTEwMzg3NjItMjAyNi0wNy0yOC1lbg==/tiny/Frequency-Electronics-Inc-.png" referrerpolicy="no-referrer-when-downgrade"></img>

FEI announced an underwritten public offering of $100 million of common stock, with $62.5 million from FEI and $37.5 million from affiliated selling stockholders. A 30-day option could add up to $15 million. Proceeds will fund growth, capital expenditures and working capital, with FEI receiving no proceeds from the selling stockholders.

News insight

Frequency Electronics Announces Proposed Public Offering

AI summary

Sentiment rationale

Key facts

Corporate Developments