Catheter Precision, Inc. Announces Exercise of Warrants for $4.9 Million of Gross Proceeds
Rhea-AI Summary
Catheter Precision (NYSE American:VTAK) has secured $4.9 million in gross proceeds through warrant exercises. The company entered into a definitive agreement for the immediate exercise of Series E, F, G, H, and I warrants to purchase 5,347,981 shares at a reduced price of $0.70 per share, generating $3.7 million. An additional $1.185 million was received through warrant exercises in the past week. In exchange, the company will issue new unregistered Series K warrants for up to 10,695,962 shares at $0.70, exercisable after shareholder approval with a 5.5-year term.
Positive
- Secured $4.9 million in immediate gross proceeds through warrant exercises
- Successfully reduced warrant exercise price to $0.70 to incentivize exercise
Negative
- Potential future dilution from new Series K warrants for 10,695,962 shares
- New warrants require shareholder approval before exercise
News Market Reaction
On the day this news was published, VTAK declined 29.17%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
FORT MILL, SC / ACCESSWIRE / October 25, 2024 / Catheter Precision, Inc. (NYSE American:VTAK), a U.S.-based innovative medical device company, today announced the entry into a definitive agreement for the immediate exercise of certain outstanding Series E, Series F, Series G, Series H and Series I warrants (collectively, the "Existing Warrants") to purchase up to an aggregate of 5,347,981 shares of the Company's stock at a reduced exercise price of
Ladenburg Thalmann & Co. Inc. acted as the exclusive warrant inducement agent for the exercise of the Existing Warrants.
In consideration for the immediate exercise of the Existing Warrants, the Company will issue new unregistered Series K warrants to purchase up to 10,695,962 shares of common stock. The new warrants will have an exercise price of
The issuance and exercise of the Series E, Series F and Series G Warrants was pursuant to an exemption under Section 4(a)(2) of the Securities Act of 1933 (the "Securities Act"), and the resale of the underlying shares has been registered thereunder. The issuance and exercise of the Series H and Series I Warrants have been registered pursuant to a registration statement on Form S-1, and they were issued pursuant to an Underwriting Agreement, dated as of August 30, 2024. The issuance of the Series K Warrants and of the shares underlying them are unregistered, and they are being issued in a private placement pursuant to Section 4(a)(2) of the Securities Act.
Additional information regarding the Catheter Precision warrant repricing will be available in a Form 8-K to be filed with the Securities and Exchange Commission (the "SEC").
About Catheter Precision
Catheter Precision is an innovative U.S.-based medical device company bringing new solutions to market to improve the treatment of cardiac arrhythmias. It is focused on developing groundbreaking technology for electrophysiology procedures by collaborating with physicians and continuously advancing its products.
At the Company
David Jenkins
973-691-2000
IR@catheterprecision.com
# # #
Contact Information
Missiaen Huck
COO
mhuck@catheterprecision.com
9736912000
SOURCE: Catheter Precision
View the original press release on accesswire.com
FAQ
How much did Catheter Precision (VTAK) raise through warrant exercises in October 2024?
What is the exercise price of the new Series K warrants for VTAK?
How many new Series K warrants did Catheter Precision (VTAK) issue in October 2024?
