GERMANTOWN, Md., May 22, 2020 /PRNewswire/ -- Seneca
Biopharma, Inc. (Nasdaq:SNCA), a clinical-stage biopharmaceutical
company developing novel treatments for various diseases of high
unmet medical need, today announced that it has entered into
definitive agreements with several institutional and accredited
investors for the purchase and sale of 5,000,000 shares of the
Company's common stock, at a purchase price of $1.00 per share, in a registered direct offering
priced at-the-market under Nasdaq rules. The closing of the
offering is expected to occur on or about May 27, 2020, subject to the satisfaction of
customary closing conditions.
The gross proceeds to the company are expected to be
approximately $5 million, prior to
deducting placement agent fees and estimated offering expenses.
Seneca intends to use the net
proceeds from the offering for general working capital.
H.C. Wainwright & Co. is acting as the exclusive placement
agent for the offering.
The shares of common stock are registered pursuant to a
registration statement on Form S-3 (File No. 333-218608) which
became effective by the Securities and Exchange Commission (SEC) on
June 23, 2017. The offering will be
made only by means of a prospectus, including a prospectus
supplement, forming a part of the effective registration statement.
A final prospectus supplement and accompanying prospectus relating
to the securities being offered will be filed with the SEC.
Electronic copies of the final prospectus supplement and
accompanying prospectus may be obtained, when available, on the
SEC's website at http://www.sec.gov or by
contacting H.C. Wainwright & Co., LLC at 430 Park
Avenue, 3rd Floor, New York, NY 10022, by phone at (646)
975-6996 or e-mail at placements@hcwco.com.
This press release shall not constitute an offer to sell or a
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 the registration or
qualification under the securities laws of any such state or
jurisdiction.
About Seneca Biopharma, Inc.
Seneca Biopharma, Inc., is a clinical-stage biopharmaceutical
company developing novel treatments for various diseases of high
unmet medical need. The Company is in the process of transforming
the organization through the acquisition or in-licensing of new
science and technologies, to develop with the goal of providing
meaningful therapies for patients.
Cautionary Statement Regarding Forward Looking
Information:
This news release contains "forward-looking statements" made
pursuant to the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements
relate to future, not past, events and may often be identified by
words such as "expect," "anticipate," "intend," "plan," "believe,"
"seek" or "will." Forward-looking statements by their nature
address matters that are, to different degrees, uncertain. Specific
risks and uncertainties that could cause our actual results to
differ materially from those expressed in our forward-looking
statements include the completion of the offering, including
the satisfaction of the closing conditions, and the use of
anticipated proceeds, risks inherent in the development and
commercialization of potential products, uncertainty of clinical
trial results or regulatory approvals or clearances, market
conditions, need for future capital, dependence upon collaborators
and maintenance of our intellectual property rights. Actual results
may differ materially from the results anticipated in these
forward-looking statements. Additional information on potential
factors that could affect our results and other risks and
uncertainties are detailed from time to time in Seneca's periodic reports, including its
Annual Report on Form 10-K for the year ended December 31, 2019, as well as our Quarterly
Reports on Form 10-Q, filed with the Securities and Exchange
Commission (SEC), and in other reports filed with the SEC. We do
not assume any obligation to update any forward-looking statements,
except as required by law.
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SOURCE Seneca Biopharma, Inc.