CRANFORD, N.J., May 18, 2020 /PRNewswire/ -- Citius
Pharmaceuticals Inc. (Nasdaq: CTXR), a specialty
pharmaceutical company focused on adjunctive cancer care and
critical care drug products, today announced the closing of the
previously announced registered direct offering priced
at-the-market under Nasdaq rules. In the offering, Citius
sold 7,058,824 shares of its common stock, at a purchase price per
share of $1.0625. Additionally,
Citius issued to the investors unregistered warrants to purchase up
to 3,529,412 shares of its common stock.
H.C. Wainwright & Co. acted as the exclusive placement agent
for the offering.
The gross proceeds of the offering were approximately
$7.5 million and the net proceeds
from the offering were approximately $6.8
million, after deducting placement agent fees and other
offering expenses. Citius intends to use the net proceeds from the
offering for general corporate purposes, including clinical trial
expenses, research and development expenses, manufacturing expenses
and general and administrative expenses.
The warrants are exercisable immediately at an exercise price of
$1.00 per share and will expire five
and one-half years from the issue date.
The shares of common stock described above (but not the warrants
or the shares of common stock underlying the warrants) were offered
pursuant to a "shelf" registration statement (File No. 333-221492)
filed with the Securities and Exchange Commission (SEC) and
declared effective on December 15,
2017. The offering of such shares was made only by means of
a prospectus, including a prospectus supplement, forming a part of
the effective registration statement. A prospectus supplement and
the accompanying prospectus relating to the offering of the shares
of common stock was filed with the SEC. Electronic copies of the
prospectus supplement and the accompanying prospectus relating to
the offering of the shares of common stock may also be obtained by
contacting H.C. Wainwright & Co., LLC at 430 Park Avenue,
3rd Floor, New York, NY
10022, by emailing firstname.lastname@example.org or by calling
The warrants described above were offered in a private placement
under Section 4(a)(2) of the Securities Act of 1933, as amended
(the "Act"), and Regulation D promulgated thereunder and, along
with the shares of common stock underlying the warrants, have not
been registered under the Act, or applicable state securities laws.
Accordingly, the warrants and underlying shares of common stock may
not be offered or sold in the United
States except pursuant to an effective registration
statement or an applicable exemption from the registration
requirements of the Act and such applicable state securities
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any of the securities described
herein, 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 Citius Pharmaceuticals, Inc.
Citius is a late-stage specialty pharmaceutical company
dedicated to the development and commercialization of critical care
products, with a focus on anti-infectives and cancer care. For more
information, please visit www.citiuspharma.com.
This 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. Such statements
are made based on our expectations and beliefs concerning future
events impacting Citius. You can identify these statements by the
fact that they use words such as "will," "anticipate," "estimate,"
"expect," "should," and "may" and other words and terms of similar
meaning or use of future dates. 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 price.
Factors that could cause actual results to differ materially
from those currently anticipated are: risks related to the use of
anticipated proceeds from the offering; risks associated with
conducting clinical trials and drug development; the estimated
markets for our product candidates and the acceptance thereof by
any market; risks related to our growth strategy; risks relating to
the results of research and development activities; uncertainties
relating to preclinical and clinical testing; the early stage of
products under development; our ability to obtain, perform under
and maintain financing and strategic agreements and relationships;
our ability to identify, acquire, close and integrate product
candidates and companies successfully and on a timely basis; our
dependence on third-party suppliers; our ability to attract,
integrate, and retain key personnel; 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.
Vice President, Corporate Development
(O) 908-967-6677 x105
SOURCE Citius Pharmaceuticals, Inc.