$20,493 greenshoe was comprised of 2,049,250 five-year warrants
By Devika Patel
Knoxville, Tenn., May 6 – Aytu BioScience, Inc. said the underwriters for its public offering of stock and warrants opted to exercise the deal’s $1.13 million greenshoe in part, for a total of 2,049,250 warrants or $20,493, bringing total proceeds of the offering to $7.52 million. The deal priced for $7.5 million with the greenshoe on May 2.
The company sold 18.75 million shares of common stock and warrants for 18.75 million shares at a combined public offering price of $0.40 per share and related warrant. The greenshoe of 2,049,250 additional warrants was priced at $0.01 per warrant.
The five-year warrants are exercisable at $0.50, which is a 19% premium over the company’s $0.42 closing share price on April 29.
Joseph Gunnar & Co., LLC was the bookrunner, and Fordham Financial Management, Inc. was the lead manager.
The company plans to use the proceeds to fund the expansion of its commercial infrastructure, to purchase complementary urology products and/or product candidates, to fund the remaining clinical development activities for MiOXSYS, to enable FDA clearance and working capital for general corporate and administrative expenses.
Englewood, Colo.-based Aytu BioScience is a specialty pharmaceutical company focused on urology.
| Issuer: | Aytu BioScience, Inc.
|
| Issue: | Common stock
|
| Amount: | $7,520,493, including $20,493 greenshoe of 2,049,250 warrants
|
| Shares: | 18.75 million
|
| Price: | $0.40
|
| Warrants: | 20,799,250
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $0.50
|
| Bookrunner: | Joseph Gunnar & Co., LLC
|
| Lead manager: | Fordham Financial Management, Inc.
|
| Pricing date: | May 2
|
| Settlement date: | May 6
|
| Stock symbol: | OTCBB: AYTU
|
| Stock price: | $0.42 at close April 29
|
| Market capitalization: | $7.7 million
|
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