Business
NeuroOne® Announces $2.65 Million Equity Financing And $3.0 Million Credit Facility
Proceeds to be used for OneRF commercialization activities and to bridge the Company to the close of a potential distribution arrangement with a strategic
About this update from Neuroone Medical Technologies Corporation
[{"type":"text","content":"Proceeds to be used for OneRF commercialization activities and to bridge the Company to the close of a potential distribution arrangement with a strategic partner currently in the diligence process EDEN PRAIRIE, Minn., Aug. 05, 2024 (GLOBE NEWSWIRE) -- NeuroOne Medical Technologies Corporation (Nasdaq: NMTC) (“NeuroOne” or the “Company”), a medical technology company focused on improving surgical care options and outcomes for patients suffering from neurological disorders, today announced the closing of a $2.65 million private placement, as well as access to an additional $3 million credit facility. In addition, the Company announced that it signed a term sheet with an undisclosed global medical technology company to distribute its OneRF™ Ablation System. The term sheet is non-binding, and the partnership is subject to the negotiation and execution of definitive documentation, due diligence, and other customary closing conditions. “Today’s financings, $3 million of which is minimally dilutive to our shareholders, puts our Company in a strong position to operate our business and move forward with a potential partnership for our OneRF Ablation System, which we anticipate will close by the end of the third calendar quarter,” said Dave Rosa, CEO of NeuroOne. The private placement consisted of an aggregate of 2,944,446 shares of the Company’s common stock and warrants to purchase an aggregate of 2,208,338 shares of common stock, at a purchase price of $0.90 per unit. Each unit consisted of one share of common stock and a warrant to purchase 0.75 shares of common stock. The warrants have an exercise price of $1.19 per share of common stock, and are exercisable for a period of three years from the date of issuance. Investors included current institutional investors and insiders. In addition, the Company also secured a $3 million credit line from Growth Opportunity Funding, LLC. The Company intends to use the proceeds from the offering for funding operations, working capital, and general corporate purposes, including to expand commercialization of the OneRF limited launch, completion of product development intended for a new ablation indication, and completion of the diligence process with a potential OneRF strategic partner. The securities issued and sold in the private placement have not been registered under the Securities Act of 193...