ALLR - Allarity Therapeutics stock slides after pricing $7.5M securities offering
2023-04-19 09:48:03 ET
- Allarity Therapeutics ( NASDAQ: ALLR ) shares plunged 40% on Wednesday after the pharmaceutical company priced its securities offering to raise around $7.5M in gross proceeds.
- The offering consists of 2,869,330 shares of common stock, 7,130,670 pre-funded warrants, and 10M common warrants to purchase 10M shares of common stock, issued at an effective combined price of $0.75 per share and common warrant.
- The warrants will be exercisable immediately at $0.85 per share and will expire five years from the initial exercise date.
- The company plans to use a portion of the net proceeds to pay account payables and accrued liabilities outstanding, payoff certain outstanding promissory notes, redeem a portion of its Series A Convertible Preferred Stock and for working capital and general corporate purposes.
- The offering is expected to close on about April 21, 2023, subject to the satisfaction of customary closing conditions.
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Allarity Therapeutics stock slides after pricing $7.5M securities offering