Protagenic Therapeutics Announces Pricing of Private Placement for Aggregate Gross Proceeds of $1.275 Million
Protagenic Therapeutics (Nasdaq:PTIX) has announced a private placement offering with expected gross proceeds of $1.275 million.
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Rhea-AI Summary
Protagenic Therapeutics (Nasdaq:PTIX) has announced a private placement offering with expected gross proceeds of $1.275 million. The company will issue 1,948,295 shares of common stock (or pre-funded warrants), along with series A and B warrants to purchase additional shares. The purchase price is set at $0.64 per share ($0.89 for insiders). Series A warrants have an 18-month term while Series B warrants extend to 5 years, both with a $0.64 exercise price. The offering, expected to close by November 4, 2024, will be used for working capital purposes. Brookline Capital Markets is serving as the sole placement agent.
Positive
- Secured $1.275 million in additional funding through private placement
- Insider participation at premium price ($0.89 vs $0.64)
Negative
- Potential dilution from issuance of 1,948,295 shares plus additional shares from warrants
- Further dilution possible if warrants are exercised
Details
News Market Reaction – PTGX
The recorded move for PTGX in the trading session of this news was +0.48%.
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NEW YORK, NY / ACCESSWIRE / October 29, 2024 / Protagenic Therapeutics, Inc. (Nasdaq:PTIX) ("Protagenic Therapeutics" or the "Company"), a leader in biopharmaceutical innovation, announced today it has entered into a purchase agreement (the "Purchase Agreement") for the purchase and sale of an aggregate of 1,948,295 shares of common stock (or pre-funded warrants in lieu of shares of common stock), series A common stock purchase warrants to purchase an aggregate of 1,948,295 shares of common stock, with an exercise price of
The closing of the offering is expected to occur on or before November 4, 2024, subject to the satisfaction of customary closing conditions. The gross proceeds from the offering are expected to be approximately
Brookline Capital Markets, a division of Arcadia Securities, LLC, is acting as sole placement agent for the private placement.
The shares of common stock, the pre-funded warrants and the shares of common stock underlying the pre-funded warrants, the series A common stock warrants and series B common stock warrants to be issued in the private placement and the shares issuable upon exercise of such series A and series B common stock warrants were offered pursuant to an exemption from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act") under Section 4(a)(2) thereof and Regulation D promulgated thereunder and have not been registered under the Securities Act or applicable state securities laws. This press release 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 Protagenic Therapeutics, Inc.:
Protagenic Therapeutics, Inc. (Nasdaq:PTIX) is committed to pioneering neuro-active peptides into therapeutics to mitigate stress-related disorders. For more information, visit www.protagenic.com.
About PT00114:
PT00114, a 41-amino-acid synthetic peptide, holds promise in treating various neuro-psychiatric conditions, including depression, anxiety, and PTSD. It operates with a novel mechanism, mirroring the active part of the natural brain hormone TCAP, thereby reducing circulating cortisol levels.
Forward-Looking Statements: Statements in this release about future expectations are "forward-looking" and subject to risks and uncertainties. Investors are cautioned against placing undue reliance on such statements.
Company Contact: Alexander K. Arrow, MD, CFA, Chief Financial Officer, Protagenic Therapeutics, Inc. 149 Fifth Ave, Suite 500, New York, NY 10010. Tel: 213-260-4342 Email: alex.arrow@protagenic.com
SOURCE: Protagenic Therapeutics, Inc.
View the original press release on accesswire.com
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