Seelos Therapeutics Announces Pricing of $1.1 Million Registered Direct Offering and Concurrent Private Placement Priced At-the-Market Under Nasdaq Rules
Summary
NEW YORK, May 16, 2024 /PRNewswire/ -- Seelos Therapeutics, Inc. (Nasdaq: SEEL) ("Seelos" or the "Company"), a clinical-stage biopharmaceutical company focused on the development of therapies for central nervous system ("CNS") disorders and rare diseases, announced today that it has entered into a securities purchase agreement with certain institutional investors, providing for the purchase and sale of 380,968 shares of common stock and pre-funded warrants to purchase up to 81,239 shares of common stock at a price of $2.46 per share (or $2.459 per pre-funded warrant) in a registered direct offering priced at-the-market under Nasdaq rules, resulting in total gross proceeds of approximately $1.1 million, before deducting the placement agents fees and other estimated offering expenses.The Company also agreed to issue to the investors unregistered warrants to purchase up to 924,414 shares of common stock in a concurrent private placement. The warrants will have an exercise price of $2.21 per share of common stock, will be immediately exercisable upon issuance and will expire five years following the initial date of exercise.The registered direct offering and concurrent private placement are expected to close on or about May 21, 2024, subject to the satisfaction of customary closing conditions.Seelos currently intends to use the net proceeds from the offering for general corporate purposes, the advancement of the development of its product candidates and to make periodic principal and interest payments under, or to repay a portion of, its outstanding convertible promissory note.Roth Capital Partners is acting as the sole placement agent for the offering.The registered direct offering of the shares of common stock and pre-funded warrants described above is being made pursuant to an effective shelf registration statement on Form S-3 (File No 333-276119) previously filed with the U.S. Securities and Exchange Commission (the "SEC") on December 18, 2023, as declared effective by the SEC on December 27, 2023. The Companys robust portfolio includes several late-stage clinical assets targeting indications including Acute Suicidal Ideation and Behavior (ASIB) in Major Depressive Disorder (MDD), amyotrophic lateral sclerosis (ALS) and Spinocerebellar ataxia (SCA), as well as early-stage programs in Huntingtons disease, Alzheimers disease, and Parkinsons Disease.Statements made in this press release, which are not historical in nature, constitute forward-looking statements related to Seelos for purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. The risks and uncertainties involved include those associated with general economic and market conditions and our ability to satisfy closing conditions applicable to the offering, our intended use of proceeds from the offering, as well as other risk factors and matters set forth in our periodic filings with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2023, subsequent Quarterly Reports on Form 10-Q, including Seelos Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, and the prospectus supplement and the accompanying prospectus related to the public offering to be filed with the SEC. We do not undertake any obligation to update, amend or clarify these forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.