Business
Aytu Announces $20 Million Registered Direct Offering Priced At-the-Market
ENGLEWOOD, CO / ACCESSWIRE / March 19, 2020 / Aytu BioScience, Inc. (NASDAQ:AYTU), a specialty pharmaceutical company focused on commercializing novel
About this update from Aytu Biopharma, Inc.
[{"type":"text","content":"ENGLEWOOD, CO / ACCESSWIRE / March 19, 2020 / Aytu BioScience, Inc. (NASDAQ:AYTU), a specialty pharmaceutical company focused on commercializing novel products that address significant patient needs, today announced that it has entered into definitive agreements with several healthcare-focused institutional investors for the purchase and sale of an aggregate 12,539,187 shares of Aytu's common stock and warrants to purchase an aggregate of up to 12,539,187 shares of common stock, at a combined purchase price of $1.595 per share and associated warrant, in a registered direct offering priced at-the-market under Nasdaq rules. The closing of the offering is expected to occur on or about March 23, 2020, subject to the satisfaction of customary closing conditions.H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.The warrants will have an exercise price of $1.47 per share and exercise period commencing immediately upon issuance and a term of one year.The gross proceeds to Aytu from this offering are expected to be approximately $20 million, before deducting the placement agent's fees and other offering expenses payable by Aytu. In addition, in the event the warrants are exercised in full, Aytu expects to receive approximately $20 million in additional gross proceeds. However, there is no assurance that all or a portion of the warrants will be exercised prior to their expiration. The Company intends to use the net proceeds from this offering for working capital, general corporate purposes, and to continue the commercialization of the Company's prescription and consumer health products.The securities are being offered by Aytu pursuant to a \"shelf\" registration statement on Form S-3 (File No. 333-221735) previously filed with the Securities and Exchange Commission (the \"SEC\") on November 22, 2017 and declared effective by the SEC on December 1, 2017. The offering of the securities will be made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement. A final prospectus supplement and accompanying prospectus relating to the securities being offered will be filed with the SEC. Electronic copies of the final prospectus supplement and accompanying prospectus may be obtained, when available, on the SEC's website at http://www.sec.gov or by contac...