Cosmos Health Inc. Announces Successful Closing of $32.5 Million Registered Direct Offering and Concurrent Private Placement Priced At-The-Market

Rhea-AI Summary

Cosmos Health Inc. (NASDAQ:COSM) has successfully closed a registered direct offering of 2,828,320 shares of its common stock, alongside a private placement of warrants for the same number of shares, at a combined price of $11.50 per share. The total gross proceeds are approximately $32.5 million, which will be used for working capital and general corporate purposes. The offering included a $3 million investment from CEO Grigorios Siokas and other existing shareholders. The offering is conducted under a previously effective SEC registration statement.

Positive

• Gross proceeds of approximately $32.5 million will enhance working capital.
• CEO Grigorios Siokas participated with a $3 million investment, showing confidence in the company.

Negative

• The offering may lead to shareholder dilution due to increased shares outstanding.

CHICAGO, IL / ACCESSWIRE / December 21, 2022 / Cosmos Health Inc. (the "Company") (NASDAQ:COSM), a global healthcare group with proprietary lines of nutraceuticals and distributor of pharmaceuticals, branded generics, OTC medications and medical devices, today announced the closing of its previously announced registered direct offering of 2,828,320 shares of the Company's common stock and concurrent private placement of warrants to purchase 2,828,320 shares of the Company's common stock at a combined purchase price of $11.50. The warrants have an exercise price of $11.50 per share, are exercisable immediately and expire five years from the issuance date.

The offering includes a $3 million participation from Grigorios Siokas, CEO of Cosmos Health Inc., as well as existing shareholders of the Company.

The aggregate gross proceeds from the offering are approximately $32.5 million before deducting fees and other estimated expenses. The Company expects to use the net proceeds from the offering for working capital and general corporate purposes.

A.G.P./Alliance Global Partners acted as the sole placement agent for the offering.

The offering is being made pursuant to a "shelf" registration statement on Form S-3 (File No. 333-267550) previously filed with and declared effective by the U.S. Securities and Exchange Commission (the "SEC") on December 15, 2022. A final prospectus supplement describing the terms of the offering has been filed with the SEC and is available on the SEC's website located at http://www.sec.gov. Electronic copies of the prospectus supplement may be obtained, when available, from A.G.P./Alliance Global Partners, 590 Madison Avenue, 28th Floor, New York, NY 10022, or by telephone at (212) 624-2060, or by email at prospectus@allianceg.com.

This press release is for informational purposes only and shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities, in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Cosmos Health Inc.

Cosmos Health Inc. (Nasdaq:COSM) is a global healthcare group that was incorporated in 2009 and is headquartered in Chicago, Illinois. Cosmos Health is engaged in the nutraceuticals sector through its own proprietary lines of products "Sky Premium Life" and "Mediterranation." Additionally, the Company is operating in the pharmaceutical sector through the provision of a broad line of branded generics and OTC medications and is involved in the healthcare distribution sector through its subsidiaries in Greece and UK serving retail pharmacies and wholesale distributors. Cosmos Health is strategically focused on the R&D of novel patented nutraceuticals (IP) and specialized root extracts as well as on the R&D of proprietary complex generics and innovative OTC products. Cosmos has developed a global distribution platform and is currently expanding throughout Europe, Asia and North America. Cosmos Health has offices and distribution centers in Thessaloniki and Athens, Greece and Harlow, UK. More information is available at www.cosmosholdingsinc.com and www.skypremiumlife.com.

Forward-Looking Statements

With the exception of the historical information contained in this news release, the matters described herein, may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded by, followed by, or that otherwise, include the words "believes," "expects," "anticipates," "intends," "projects," "estimates," "plans" and similar expressions or future or conditional verbs such as "will," "should," "would," "may" and "could", are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. These statements, involve unknown risks and uncertainties that may individually or materially impact the matters discussed, herein for a variety of reasons that are outside the control of the Company, including, but not limited to, the Company's ability to raise sufficient financing to implement its business plan, the impact of the COVID-19 pandemic and the war in Ukraine, on the Company's business, operations and the economy in general, and the Company's ability to successfully develop and commercialize its proprietary products and technologies. Readers are cautioned not to place undue reliance on these forward- looking statements, as actual results could differ materially from those described in the forward-looking statements contained herein. Readers are urged to read the risk factors set forth in the Company's filings with the SEC, which are available at the SEC's website (www.sec.gov). The Company disclaims any intention or obligation to update, or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Investor Relations Contact
Lytham Partners, LLC
Ben Shamsian
E: shamsian@lythampartners.com
P: 646-829-9701

SOURCE: Cosmos Health Inc.

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FAQ

What is the purpose of the Cosmos Health Inc. stock offering?

The stock offering aims to raise approximately $32.5 million for working capital and general corporate purposes.

How many shares were offered by Cosmos Health Inc. in the recent offering?

Cosmos Health Inc. offered a total of 2,828,320 shares of common stock in the recent offering.

What was the purchase price for the shares in the Cosmos Health Inc. offering?

The shares were priced at a combined purchase price of $11.50 each.

Who participated in the Cosmos Health Inc. stock offering?

CEO Grigorios Siokas and existing shareholders participated in the offering.

What are the potential risks associated with the Cosmos Health Inc. offering?

Potential risks include shareholder dilution due to the increase in shares outstanding as a result of the offering.