CTSO - CytoSorbents Announces Closing of $10.3 Million Registered Direct Offering | Benzinga
PRINCETON, N.J., Dec. 13, 2023 (GLOBE NEWSWIRE) -- CytoSorbents Corporation (NASDAQ:CTSO), a leader in the treatment of life-threatening conditions in the intensive care unit and cardiac surgery using blood purification via its proprietary polymer adsorption technology, today announces the closing of its previously announced registered direct offering for the sale by the Company directly to investors of an aggregate of 7,733,090 shares of registered common stock and warrants to purchase up to 2,706,561 shares of common stock.
Dr. Phillip Chan, Chief Executive Officer of CytoSorbents stated, "We are pleased to announce the closing of this equity financing, with participation and support from existing institutional investors, new long-term fundamental investors, as well as all C-level executives and Board Directors, and other key leaders in the Company. The fundraise represents a key piece of our overall financing strategy which combines equity with non-dilutive debt. Through the anticipated addition of further debt capital and ongoing expense reductions, we expect to be well-capitalized to fund the operating needs of the Company through at least the next 18 months. Meanwhile, we are very excited by the expected completion of initial data analysis from our pivotal U.S. and Canadian STAR-T randomized, controlled trial before the end of this month."
Net proceeds from the offering, after transaction fees and expenses, are expected to be approximately $9.83 million, excluding any proceeds that may be received upon the exercise of the warrants. Each warrant is immediately cash exercisable at an exercise price per share of $2.00 and will expire on the fifth anniversary of the original issue date. Each share of common stock and accompanying warrant to purchase up to 0.35 shares of common stock, were sold together for a combined purchase price of $1.33, for an aggregate gross purchase price of $10,285,009.70. The Company's executive officers, directors, and certain non-executive officer employees of the Company also participated in the financing with a combined investment of $435,000.
The Company intends to use the net proceeds from this offering for general corporate purposes, including to fund clinical and regulatory efforts to file for DrugSorb®-ATR marketing approval in the United States and Canada, ...