ASTC - Astrotech to raise $10M in direct offering; stock down 22%

Astrotech (ASTC) announces direct offering of 6.67M shares to the underwriter H.C. Wainwright & Co, who has agreed to purchase the shares on firm commitment basis at $1.50 each.Underwriters' overallotment option is to purchase up to an additional 1M shares.Gross proceed will be ~$10M.The company says it intends to use the net proceeds for general corporate purposes, working capital, and capital expenditures.The offering is expected to close on April 12, 2021.Stock down 22% in after-hours trading.Earlier today, the stock rallied after subsidiary BreathTech signed deal to study BreathTest-1000 in COVID-19 patients.

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Astrotech to raise $10M in direct offering; stock down 22%