Avenue Therapeutics Prices $2.0 Million Underwritten Public Offering of Common Stock
December 12 2021 - 8:00PM
Avenue Therapeutics, Inc. (NASDAQ: ATXI) (“Avenue”), a company
focused on the development of intravenous (“IV”) tramadol for the
U.S. market, today announced the pricing of an underwritten public
offering with gross proceeds to the Company expected to be
approximately $2.0 million, before deducting underwriting discounts
and commissions and other estimated expenses payable by the
Company. The offering equates to 1,910,100 shares at a price to the
public of $1.07 per share. The Company intends to use the net
proceeds from this offering for working capital and general
corporate purposes.
In addition, the Company granted the
underwriters a 45-day option to purchase additional shares of
common stock, representing up to 15.0% of the number of the shares,
solely to cover over-allotments, if any, which would increase the
total gross proceeds of the offering to approximately $2.3 million,
if the over-allotment option is exercised in full.
The offering is expected to close on December
15, 2021, subject to the satisfaction of customary closing
conditions.
Aegis Capital Corp. is acting as sole
book-running manager for the offering.
The securities described above are being offered
by Avenue Therapeutics pursuant to an effective registration
statement on Form S-3 (No. 333-261520) previously filed with the
U.S. Securities and Exchange Commission (the "SEC") and declared
effective by the SEC on December 10, 2021. A final prospectus (the
"Prospectus") describing the terms of the proposed offering will be
filed with the SEC and will be available on the SEC's website
located at http://www.sec.gov. Electronic copies of the Prospectus
may be obtained, when available, by contacting Aegis Capital Corp.,
Attention: Syndicate Department, 810 7th Avenue, 18th floor, New
York, NY 10019, by email at syndicate@aegiscap.com, or by telephone
at (212) 813-1010. Before investing in this offering, interested
parties should read in their entirety the Prospectus and the other
documents that the Company has filed with the SEC that are
incorporated by reference in such Prospectus, which provide more
information about the Company and such offering.
This press release shall not constitute an offer
to sell or the solicitation of an offer to buy any securities, nor
shall there be any sales of the 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 Avenue Therapeutics
Avenue Therapeutics is a specialty
pharmaceutical company whose mission is to develop IV tramadol, a
potential alternative that could reduce the use of conventional
opioids, for patients suffering from acute pain in the U.S. Avenue
is headquartered in New York City. For more information, visit
www.avenuetx.com.
Forward-Looking StatementsThis
press release may contain “forward-looking statements” within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934, each as amended. Such
statements include, but are not limited to, any statements relating
to our growth strategy and product development programs and any
other statements that are not historical facts. Forward-looking
statements are based on management’s current expectations and are
subject to risks and uncertainties that could negatively affect our
business, operating results, financial condition and stock value.
Factors that could cause actual results to differ materially from
those currently anticipated include: risks related to us obtaining
regulatory approval from the FDA for our product candidate, risks
relating to the COVID-19 outbreak and its potential impact on our
employees’ and consultants’ ability to complete work in a timely
manner, risks relating to our growth strategy; risks relating to
the results of research and development activities; risks relating
to the timing of starting and completing clinical trials; our
ability to obtain, perform under and maintain financing and
strategic agreements and relationships; uncertainties relating to
preclinical and clinical testing; our dependence on third-party
suppliers; our ability to attract, integrate and retain key
personnel; the early stage of products under development; our need
for substantial additional funds; government regulation; patent and
intellectual property matters; competition; as well as other risks
described in our SEC filings. We expressly disclaim any obligation
or undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in our expectations or any changes in events, conditions or
circumstances on which any such statement is based, except as
required by law, and we claim the protection of the safe harbor for
forward-looking statements contained in the Private Securities
Litigation Reform Act of 1995.
Contacts: Jaclyn Jaffe and Bill BegienAvenue
Therapeutics, Inc. (781) 652-4500ir@avenuetx.com
Avenue Therapeutics (NASDAQ:ATXI)
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