HTG Molecular Diagnostics (NASDAQ:HTGM) shares fell 11% after the life science company priced its $10M securities offering.
The offering consists of 1,290,322 shares of its common stock (or pre-funded warrants in lieu thereof), Series A-1 warrants to purchase up to 1,290,322 shares and Series A-2 warrants to purchase 1,290,322 shares of common stock, issued at a combined public offering price of $7.75 per share (or pre-funded warrant) and accompanying warrants.
The Series A-1 warrants will have an exercise price of $7.50 per share, will be exercisable immediately upon issuance and will expire five years from the date of issuance, and the Series A-2 warrants will have an exercise price of $7.50 per share, will be exercisable immediately upon issuance and will expire twenty-four months from the date of issuance.
Gross proceeds from the offering, before deducting the placement agent's fees and other offering expenses, are expected to be ~$10. Net proceeds will be used for general corporate purposes, which may include research and development expenses, clinical trial expenses, capital expenditures and working capital.
The offering is expected to close around Dec. 23, 2022.