FWBI - First Wave BioPharma Inc. to Raise Approximately $4.0 Million of Gross Proceeds in Registered Direct Offering | Benzinga
BOCA RATON, Fla., March 04, 2024 (GLOBE NEWSWIRE) -- First Wave BioPharma, Inc., (NASDAQ:FWBI), ("First Wave BioPharma" or the "Company"), a clinical-stage biopharmaceutical company specializing in the development of targeted, non-systemic therapies for gastrointestinal (GI) diseases, announced today that it has entered into a definitive securities purchase agreement with a certain institutional investor for the purchase and sale of 525,625 shares of the Company's common stock (or common stock equivalents) at a price of $7.61 per share in a registered direct offering.
In addition, in a concurrent private placement, the Company will issue to the investors warrants to purchase up to 525,625 shares of common stock. The warrants have an exercise price of $7.48 per share, will be exercisable immediately following the date of issuance and will have a term of five years following the date of issuance.
Roth Capital Partners is acting as the exclusive placement agent for the offering.
The gross proceeds to the Company from this offering are expected to be approximately $4.0 million, before deducting the placement agent's fees and other offering expenses payable by the Company. The Company intends to use the net proceeds from this offering for working capital and general corporate purposes. The closing of the offering is expected to occur on or about March 6, 2024, subject to the satisfaction of customary closing conditions.
The shares in the offering described above are being offered by the Company pursuant to a 'shelf' registration statement on Form S-3 (File No. 333-256476) previously filed with the Securities and Exchange Commission (the 'SEC') and declared effective by the SEC on June 2, 2021. The offering is being made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement, relating to the offering that will be filed with the SEC. Electronic copies of the final prospectus supplement and accompanying prospectus ...