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Microbot Medical Announces Exercise of Outstanding Preferred Investment Options for $2.73 Million in Gross Proceeds Priced At-the-Market Under Nasdaq Rules

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Microbot Medical Inc. (Nasdaq: MBOT) announced the immediate exercise of certain outstanding preferred investment options to purchase up to 1,685,682 shares of common stock at a reduced exercise price of $1.62 per share. The offering is expected to close soon.
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Microbot Medical Inc.'s announcement of the definitive agreement for the immediate exercise of preferred investment options represents a strategic financial maneuver that can influence the company's liquidity and capital structure. The reduction in exercise price from the original $2.075-$3.19 range to $1.62 per share is indicative of a discounting strategy, which could be aimed at incentivizing the exercise of these options, thereby providing the company with an immediate influx of capital.

From a financial perspective, this move may dilute current shareholders but can be beneficial if the capital raised is used effectively for growth initiatives or to strengthen the company's balance sheet. The potential influx of approximately $2.73 million, assuming full exercise, needs to be evaluated against the company's current burn rate and developmental milestones. If the funds extend the company's runway sufficiently to achieve key goals, such as further development or commercialization of the LIBERTY® Endovascular Robotic Surgical System, it could enhance investor confidence. However, the dilution effect and below-market exercise price could negatively impact the stock price in the short term.

The endovascular robotic surgical systems market is poised for growth, driven by technological advancements and an increasing demand for minimally invasive surgeries. Microbot Medical's LIBERTY® system is positioned within this innovative sector and the company's ability to secure funding through the exercise of investment options could be a reflection of investor belief in the potential market penetration and future revenue streams.

It is essential to monitor how this capital is allocated, as strategic investments in marketing, research and development, or scaling production capabilities could significantly impact Microbot's market share and competitive positioning. The timing of this offering, with respect to industry trends and competitor moves, may also affect the company's ability to capitalize on market opportunities. Stakeholders should consider the broader industry context and the company's performance relative to peers when assessing the potential long-term value creation from this exercise of options.

The LIBERTY® Endovascular Robotic Surgical System represents a significant innovation in the field of robotic-assisted surgeries, a domain that is becoming increasingly important in improving surgical outcomes and reducing recovery times. The financial decision to exercise investment options at a reduced price could be indicative of Microbot Medical's commitment to advancing their technology and securing a foothold in the competitive medical devices market.

An analysis of the company's technological roadmap, intellectual property portfolio and regulatory strategy is crucial. The funds raised may accelerate the development and clearance process, which is vital for gaining market access. Furthermore, the impact on the company's valuation and R&D expenditure should be scrutinized, as these factors will play a critical role in determining the long-term success of the LIBERTY® system in a market that values innovation and efficacy.

BRAINTREE, Mass., Dec. 29, 2023 (GLOBE NEWSWIRE) -- Microbot Medical Inc. (Nasdaq: MBOT), developer of the innovative LIBERTY® Endovascular Robotic Surgical System, today announced the entry into a definitive agreement for the immediate exercise of certain outstanding preferred investment options to purchase up to an aggregate of 1,685,682 shares of common stock, having exercise prices ranging from $2.075 to $3.19 per share, issued by Microbot in October 2022 and June 2023, at a reduced exercise price of $1.62 per share. The shares of common stock issuable upon exercise of the preferred investment options are registered pursuant to an effective resale registration statement on Form S-1 (File No. 333-273207). The closing of the offering is expected to occur on or about January 3, 2024, subject to satisfaction of customary closing conditions.

H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.

In consideration for the immediate exercise of the preferred investment options for cash, Microbot will issue new unregistered series E preferred investment options to purchase up to 1,685,682 shares of common stock. The new series E preferred investment options will have an exercise price of $1.50 per share, will be exercisable immediately upon issuance and have a term equal to five and one-half years from the date of issuance.

The gross proceeds to the Company from the exercise of the preferred investment options are expected to be approximately $2.73 million, prior to deducting placement agent fees and offering expenses. The Company intends to use the net proceeds from the offering for the continued development, commercialization and regulatory activities for the Company’s LIBERTY® Robotic System, expansion and development of additional applications derived from the Company’s existing IP portfolio, and for working capital and other general corporate purposes.

The new series E preferred investment options described above were offered in a private placement pursuant to an applicable exemption from the registration requirements of the Securities Act of 1933, as amended (the “1933 Act”), and, along with the shares of common stock issuable upon exercise, have not been registered under the 1933 Act, and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (“SEC”) or an applicable exemption from such registration requirements. Microbot has agreed to file a registration statement with the SEC covering the resale of the shares of common stock issuable upon exercise of the new series E preferred investment options.

This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities in this offering, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About Microbot Medical

Microbot Medical Inc. (NASDAQ: MBOT) is a pre-clinical medical device company that specializes in transformational micro-robotic technologies, with the goals of improving clinical outcomes for patients and increasing accessibility through the natural and artificial lumens within the human body.

The LIBERTY® Endovascular Robotic Surgical System aims to improve the way surgical robotics are being used in endovascular procedures today, by eliminating the need for large, cumbersome, and expensive capital equipment. The Company believes the LIBERTY® Endovascular Robotic Surgical System’s remote operation has the potential to be the first system to democratize endovascular interventional procedures.

Further information about Microbot Medical is available at http://www.microbotmedical.com.

Safe Harbor

Statements to future financial and/or operating results, future growth in research, technology, clinical development, and potential opportunities for Microbot Medical Inc. and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the Federal securities laws. Any statements that are not historical fact (including, but not limited to statements that contain words such as “will,” “believes,” “plans,” “anticipates,” “expects” and “estimates”) should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, the timing and completion of the offering; the satisfaction of customary closing conditions related to the offering and the intended use of proceeds therefrom, as well as market and other conditions, risks inherent in the development and/or commercialization of potential products, including LIBERTY, the outcome of its studies to evaluate LIBERTY, whether the Company’s core business focus program and cost reduction plan are sufficient to enable the Company to continue to focus on its LIBERTY technology while it stabilizes its financial condition and seeks additional working capital, any failure or inability to recruit physicians and clinicians to serve as primary investigators to conduct regulatory studies which could adversely affect or delay such studies, uncertainty in the results of pre-clinical and clinical trials or regulatory pathways and regulatory approvals, disruptions resulting from new and ongoing hostilities between Israel and the Palestinians, such as employees of Microbot and its vendors and business partners being called to active military duty, any lingering uncertainty resulting from the COVID-19 pandemic, need and ability to obtain future capital, and maintenance of intellectual property rights. Additional information on risks facing Microbot Medical can be found under the heading “Risk Factors” in Microbot Medical’s periodic reports filed with the Securities and Exchange Commission (SEC), which are available on the SEC’s web site at www.sec.gov. Microbot Medical disclaims any intent or obligation to update these forward-looking statements, except as required by law.

Investor Contact:

Michal Efraty
+972-(0)52-3044404
IR@microbotmedical.com


Microbot Medical Inc. announced the immediate exercise of certain outstanding preferred investment options to purchase up to 1,685,682 shares of common stock.

The ticker symbol for Microbot Medical Inc. is MBOT.

The exercise price for the shares of common stock is $1.62 per share.

The closing of the offering is expected to occur soon.
Microbot Medical Inc

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Biological Product (except Diagnostic) Manufacturing
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Health Technology, Biotechnology, Manufacturing, Biological Product (except Diagnostic) Manufacturing
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About MBOT

microbot medical was founded with the vision of pioneering micro invasive surgery, transforming one of the biggest trends in healthcare - minimally invasive surgery (estimated to be close to $20b by 2015); the company will provide transformational micro invasive technologies with the accuracy of robots and automated instruments to assist physicians in targeting the disease site with exquisite precision. microbot will solve one of the largest unmet needs in the medical field, where morbidity as a result of surgery is more frequently due to trauma involved in gaining access to the area to perform the intended procedure rather than from the procedure itself. through its unique platforms, microbot will reach multiple surgical spaces, capitalizing on the fact that minimally invasive techniques have been applied to most of the surgical specialties. microbot’s virob platform is an autonomous advancing micro robot (aamr), less then 1mm in diameter, which has the ability to advance (forward/bac