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Cardax Secures Access to Funds Under Equity Purchase Agreement
Cardax Secures Access to Funds Under Equity Purchase Agreement.
About this update from Cardax Inc
[{"type":"text","content":"\n \n Cardax, Inc. (“Cardax”) (OTCQB:CDXI) announced today that the \n registration statement necessary to access funds under the previously \n reported Equity Purchase Agreement (“EPA”) has been declared effective \n by the Securities and Exchange Commission (“SEC”).\n \n \n The EPA provides Cardax with the right, but not the obligation, to sell \n up to $5 million in stock to an affiliate of Southridge LLC \n (“Southridge”). In addition, Cardax has the ability to designate the \n amount, minimum pricing, and timing of each draw-down and expects to use \n this facility to finance its operating needs if the pricing for a \n draw-down is acceptable. The ownership of Cardax stock by Southridge is \n limited to 9.99% at any time, which would be 8,820,509 shares as of \n September 30, 2016 and corresponds to the number of shares subject to \n the registration statement. There are no trading volume requirements in \n connection with the draw-downs; however, the maximum amount of capital \n that can be effectively drawn-down at any given time will be dependent \n on the then current market pricing and beneficial ownership of Cardax \n stock by Southridge.\n \n \n “We are pleased to complete the SEC registration necessary to access \n this useful financing tool,” said Cardax President and CEO, David G. \n Watumull. “This flexible, non-toxic financing—with the protection of a \n reasonable floor and less dilution than our 2016 private \n placements—delivers a prudent and workable platform for us as we focus \n on commercialization of ZanthoSyn and development of our second \n generation product, CDX-085.”\n \n \n About Cardax\n \n \n Cardax devotes substantially all of its efforts to developing and \n commercializing safe anti-inflammatory dietary supplements and drugs. \n Cardax is initially focusing on astaxanthin, which is a powerful and \n safe naturally occurring anti-inflammatory without the side effects of \n currently marketed anti-inflammatories. The safety and efficacy of \n Cardax's products have not been directly evaluated in clinical trials or \n confirmed by the FDA.\n \n \n About Southridge LLC\n \n \n Since 1996, Southridge has made direct investment of over $1.8 billion \n into more than 250 growth companies globally, driven by its uniqu...