Business
Aytu BioPharma Announces Closing of $4.0 Million Public Offering Priced At-the-Market
Abhinav Jain of Nantahala Capital Management, LLC Joins the Company's Board of Directors Upon ClosingPotential for Additional $7 Million in Event of Exercise
About this update from Aytu Biopharma, Inc.
[{"type":"text","content":"Abhinav Jain of Nantahala Capital Management, LLC Joins the Company's Board of Directors Upon ClosingPotential for Additional $7 Million in Event of Exercise of Common Warrants in FullExtends Interest Only Period on Avenue Capital Term Loan Through January 2025 Maturity DateENGLEWOOD, CO / ACCESSWIRE / June 13, 2023 / Aytu BioPharma, Inc. (NASDAQ:AYTU), a pharmaceutical company focused on developing and commercializing novel therapeutics, today announced the closing of its equity offering co-led by Nantahala Capital Management and Stonepine Capital Management with participation by Armistice Capital of (i) 1,743,695 shares of its common stock, and, in lieu of common stock to certain investors that so chose, pre-funded warrants to purchase 430,217 shares of its common stock (\"Pre-Funded Warrants\"), and (ii) accompanying Tranche A and Tranche B warrants (the \"Common Warrants\") to purchase 4,347,824 shares of its common stock, priced at-the-market under the rules of the Nasdaq Capital Market (the \"Offering\").Gross proceeds, before deducting placement agent fees and other offering expenses, were approximately $4.0 million.The closing of the Offering extends the interest only period on the Company's $15 million senior secured loan facility with Avenue Venture Opportunities Fund, L.P. (the \"Avenue Note\") through its maturity date in January 2025.In connection with the closing of the Offering, Abhinav \"Abi\" Jain from Nantahala Capital Management is joining the Company's Board of Directors.The shares of common stock and the Pre-Funded Warrants were each sold in combination with corresponding Common Warrants to purchase two shares of common stock for each share of common stock or each Pre-Funded Warrant sold. The offering price for each share of common stock and accompanying Common Warrants to purchase two shares of common stock is $1.84. The offering price for each Pre-Funded Warrant and accompanying Common Warrants to purchase two shares of common stock is $1.84 less $0.0001. The Pre-Funded Warrants have an exercise price of $0.0001 per share of common stock, and the Common Warrants have an exercise price of $1.59 per share of common stock. The Pre-Funded Warrants are immediately exercisable and remain exercisable until exercised. The shares of common stock (or Pre-Funded Warrants in lieu thereof) and accompanying Common Warra...