Business
Dermata Announces Exercise of Warrants for $2.26 Million in Gross Proceeds Priced At-the-Market Under Nasdaq Rules
SAN DIEGO, CA / ACCESSWIRE / November 16, 2023 / Dermata Therapeutics, Inc. (NASDAQ:DRMA)(NASDAQ:DRMAW) ("Dermata" or the "Company"), a clinical-stage
About this update from Dermata Therapeutics, Inc.
[{"type":"text","content":"SAN DIEGO, CA / ACCESSWIRE / November 16, 2023 / Dermata Therapeutics, Inc. (NASDAQ:DRMA)(NASDAQ:DRMAW) (\"Dermata\" or the \"Company\"), a clinical-stage biotechnology company focusing on the treatment of medical and aesthetic skin conditions, today announced the entry into a definitive agreement for the immediate exercise of certain outstanding warrants to purchase up to an aggregate of 3,472,095 shares of common stock, having an exercise price of $2.82 per share, issued by Dermata in August 2022 and March 2023, at a reduced exercise price of $0.6511 per share. The shares of common stock issuable upon exercise of the warrants are registered pursuant to effective registration statements on Form S-1 (File Nos. 333-270195 and 333-264668). The closing of the offering is expected to occur on or about November 20, 2023, subject to satisfaction of customary closing conditions.H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.In consideration for the immediate exercise of the warrants for cash, Dermata will issue new unregistered series A warrants to purchase up to 3,707,944 shares of common stock and new series B warrants to purchase up to 3,236,246 shares of common stock. The new warrants will have an exercise price of $0.6511 per share, will be exercisable commencing on the effective date of stockholder approval of the issuance of the shares issuable upon exercise of the new warrants and have a term equal to five years from the date of issuance, with respect to series A warrants, and 28 months from the date of issuance, with respect to series B warrants.The gross proceeds to Dermata from the exercise of the warrants are expected to be approximately $2.26 million, prior to deducting placement agent fees and offering expenses. [The Company intends to use the net proceeds for general corporate purposes, which includes, without limitation, ongoing research and pre-clinical studies, clinical trials, the development of new biological and pharmaceutical technologies, investing in or acquiring companies that are synergistic with or complementary to our technologies, licensing activities related to our current and future product candidates, and to the development of emerging technologies, investing in or acquiring companies that are developing emerging technologies, licensing activities, or the acquisition of...