NeuroSense Therapeutics Announces Private Placement with Senior Management Participation at Premium to Market Price
Rhea-AI Summary
NeuroSense Therapeutics (Nasdaq: NRSN) has announced a private placement of $600,000 in ordinary shares and warrants. The company will sell 800,000 ordinary shares and warrants to purchase an additional 800,000 shares at a combined price of $0.75 per share and accompanying warrant, representing a 10% premium to the closing price on August 6, 2024. The warrants have a five-year term and an exercise price of $0.75 per share.
Notably, senior management, including the CEO, CFO, and CMO, as well as existing shareholders, are participating in the offering. The proceeds will be used for general corporate and working capital purposes. CEO Alon Ben-Noon expressed confidence in PrimeC's potential, citing positive results from the Phase 2b PARADIGM Study for ALS treatment.
Positive
- Private placement at a 10% premium to market price
- Senior management and insiders participating in the offering
- Positive results reported from Phase 2b PARADIGM Study for PrimeC in ALS treatment
Negative
- Potential dilution for existing shareholders due to new share issuance
News Market Reaction
On the day this news was published, NRSN declined 3.90%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
The private placement is subject to customary closing conditions and is expected to close during the week of August 12, 2014.
Insiders, including senior management of NeuroSense, the Chief Executive Officer, the Chief Financial Officer, the Chief Medical Officer, and members of the CEO's family, as well as previously existing shareholders, are participating in the offering.
Proceeds from the private placement are expected to be used for general corporate and working capital purposes.
Alon Ben-Noon, NeuroSense's CEO, commented: "Our senior management team are highly confident and enthusiastic about PrimeC's potential, especially given the positive results from our Phase 2b PARADIGM Study. We are dedicated to PrimeC's success and are personally invested in its continued development. This round of funding underscores our unwavering commitment to advancing PrimeC and highlights our belief in its transformative potential for ALS patients."
The offering is being made in reliance on an exemption from registration under Section 4(a)(2) of the Securities Act and/or Regulation D thereunder. Accordingly, the securities issued in the offering may not be offered or sold in
This press release shall not constitute an offer to sell or the solicitation of an offer to buy 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 NeuroSense
NeuroSense Therapeutics, Ltd. is a clinical-stage biotechnology company focused on discovering and developing treatments for patients suffering from debilitating neurodegenerative diseases. NeuroSense believes that these diseases, which include amyotrophic lateral sclerosis (ALS), Alzheimer's disease and Parkinson's disease, among others, represent one of the most significant unmet medical needs of our time, with limited effective therapeutic options available for patients to date. Due to the complexity of neurodegenerative diseases and based on strong scientific research on a large panel of related biomarkers, NeuroSense's strategy is to develop combined therapies targeting multiple pathways associated with these diseases.
For additional information, we invite you to visit our website and follow us on LinkedIn, YouTube and X. Information that may be important to investors may be routinely posted on our website and these social media channels.
Forward-Looking Statements
This press release contains "forward-looking statements" that are subject to substantial risks and uncertainties. All statements, statements relating to the private placement are forward-looking statements, including, without limitation, as to the consummation of the offering described above, the expected proceeds from the offering, the intended use of proceeds and the timing of the closing of the offering. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as "anticipate," "believe," "contemplate," "could," "estimate," "expect," "intend," "seek," "may," "might," "plan," "potential," "predict," "project," "target," "aim," "should," "will" "would," or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on NeuroSense Therapeutics' current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict and include statements relating to the consummation of the offering described above, the expected proceeds from the offering, the intended use of proceeds and the timing of the closing of the offering. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. The future events and trends may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward looking statements. These risks include unexpected R&D costs or operating expenses, a delay in the reporting of additional results from PARADIGM clinical trial, the timing of expected regulatory and business milestones, risks associated with meeting with the FDA to determine the best path forward following the results from PARADIGM clinical trial, including a delay in any such meeting; the potential for PrimeC to safely and effectively target ALS; preclinical and clinical data for PrimeC; the uncertainty regarding outcomes and the timing of current and future clinical trials; timing for reporting data; the development and commercial potential of any product candidates of Neurosense; the ability of NeuroSense to remain listed on Nasdaq; and other risks and uncertainties set forth in NeuroSense's filings with the Securities and Exchange Commission (SEC). You should not rely on these statements as representing our views in the future. More information about the risks and uncertainties affecting NeuroSense is contained under the heading "Risk Factors" in the Annual Report on Form 20-F filed with the Securities and Exchange Commission on April 4, 2024 and NeuroSense's subsequent filings with the SEC. Forward-looking statements contained in this announcement are made as of this date, and NeuroSense undertakes no duty to update such information except as required under applicable law.
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SOURCE NeuroSense
FAQ
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