Units consist of one share and 0.35 warrants; Piper Jaffray assists
By Devika Patel
Knoxville, Tenn., May 24- Venaxis, Inc. priced a $12.5 million public offering of units with a $1.88 million greenshoe in a prospectus and 8-K filed Friday with the Securities and Exchange Commission. The deal priced on May 23 and is being conducted on a firm commitment basis.
The company will sell 10 million units of one common share and 0.35 warrants at $1.25 per unit, with each whole warrant exercisable at $1.36 for five years.
The strike price is a 42.05% premium to the May 22 closing share price of $4.40.
Piper Jaffray & Co. is the underwriter and manager.
Settlement is expected on May 30.
Proceeds will be used for general corporate purposes, including clinical development, seeking FDA clearance for APPY1 and for initial commercialization of APPY1.
The biomedical diagnostic company is based in Castle Rock, Colo.
| Issuer: | Venaxis, Inc.
|
| Issue: | Units of one common share and 0.35 warrants
|
| Amount: | $12.5 million
|
| Greenshoe: | $1,875,000
|
| Units: | 10 million
|
| Price: | $1.25
|
| Warrants: | 0.35 warrants per unit
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $1.36
|
| Underwriter: | Piper Jaffray & Co.
|
| Pricing date: | May 23
|
| Settlement date: | May 30
|
| Stock symbol: | Nasdaq: APPY
|
| Stock price: | $1.36 at close May 22
|
| Market capitalization: | $13.04 million
|
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