Business
Nuwellis Announces Closing of $11.04 Million Underwritten Public Offering Including Full Exercise of Overallotment Option
MINNEAPOLIS, Oct. 18, 2022 (GLOBE NEWSWIRE) -- Nuwellis, Inc. (Nasdaq: NUWE) ("Nuwellis" or the "Company"), a commercial-stage company focused on transforming
About this update from Nuwellis, Inc.
[{"type":"text","content":"MINNEAPOLIS, Oct. 18, 2022 (GLOBE NEWSWIRE) -- Nuwellis, Inc. (Nasdaq: NUWE) (\"Nuwellis\" or the \"Company\"), a commercial-stage company focused on transforming the lives of people with fluid overload, today announced the closing of an underwritten public offering of units with gross proceeds of approximately $11.04 million, which includes the full exercise of the underwriter’s over-allotment option to purchase additional shares and warrants, prior to deducting underwriting discounts and commissions and offering expenses payable by Nuwellis. The offering was comprised of (1) 15,235,196 Class A Units, priced at a public offering price of $0.25 per Class A Unit, with each Class A Unit consisting of one share of common stock and 1.5 warrants to purchase one share of common stock at an exercise price of $0.25 per share, and (2) 23,157,124 Class B Units, priced at a public offering price of $0.25 per Class B Unit, with each Class B Unit consisting of one share of Series I convertible preferred stock, convertible into one share of common stock, and 1.5 warrants to purchase one share of common stock with an exercise price of $0.25 per share. The warrants will be exercisable beginning on the effective date of a reverse stock split in an amount sufficient to permit the exercise in full of the warrants, contingent upon stockholder approval of such reverse stock split and of the exercisability of the warrants under Nasdaq rules and will expire on the sixth anniversary of the initial exercise date. The stockholder meetings will be held on or before December 9, 2022. The conversion price of the preferred stock issued in the transaction is fixed and does not contain any variable pricing feature or any price based anti-dilutive feature. The preferred stock issued in this transaction includes a beneficial ownership blocker but has no dividend rights (except to the extent that dividends are also paid on the common stock) or liquidation preference, and, subject to limited exceptions, has no voting rights. The securities comprising the units are immediately separable and were issued separately. Ladenburg Thalmann & Co. Inc. acted as sole book-running manager in connection with the offering. The securities issued at closing included a total of 20,994,044 shares of common stock, 23,157,124 shares of Series I convertible preferred stock, and warran...