Allot Ltd. (NASDAQ:ALLT, TASE: ALLT))) ("Allot" or the "Company"), a leading global provider of innovative network intelligence and security solutions for service providers and enterprises worldwide, announced today a proposed public offering of its ordinary shares. All of the ordinary shares in the proposed public offering will be sold by the Company.

The Company expects to use the net proceeds of the public offering to repay $31.41 million of principal outstanding under the senior unsecured convertible promissory note with a face value of $40.0 million issued by the Company to its largest shareholder, Lynrock Lake Master Fund LP ("Lynrock"), on February 18, 2022 (as amended, the "Lynrock Note"), and the balance for general corporate purposes.

In connection with the offering, Lynrock has agreed to convert the remaining $8.59 million of principal outstanding under the Lynrock Note into ordinary shares. Lynrock will enter into a customary lock up agreement with the underwriters with respect to its ordinary shares, including those to be issued upon conversion of the Lynrock Note, for a period of 75 days following the date of the final prospectus supplement. The Company will have no outstanding indebtedness for borrowed money following the repayment and conversion of the Lynrock Note.

In addition, the Company expects to grant the underwriters of the public offering a 30-day option to purchase from the Company up to an additional 15% of the ordinary shares sold in the public offering at the public offering price, less underwriting discounts and commissions.

TD Cowen and William Blair are acting as the joint book-running managers, and Needham & Company is acting as lead manager, with respect to the public offering of the ordinary shares.