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DURECT Corp (DRRX) Announces $10 Million Registered Direct Offering of Common Stock and Warrants (earlier)

February 6, 2023 8:10 AM EST

DURECT Corporation (Nasdaq: DRRX) ("DURECT"), a biopharmaceutical company focused on developing its epigenetic regulator program for the treatment of acute organ injury and chronic liver diseases, today announced that it has entered into a definitive agreement with a leading institutional healthcare investor and an existing institutional investor for the purchase and sale of an aggregate of 1,700,000 shares of common stock and, in lieu of shares of common stock, pre-funded warrants to purchase 300,000 shares of common stock, and accompanying warrants to purchase up to 2,000,000 shares of common stock in a registered direct offering (the "Offering"). The shares of common stock and accompanying warrants are being sold at a combined purchase price of $5.00 per share and accompanying warrant, and the pre-funded warrants are being sold at a combined purchase price of $4.99999 per pre-funded warrant and accompanying warrant. All of the shares of common stock, pre-funded warrants and accompanying warrants to be sold in the Offering will be sold by DURECT. The pre-funded warrants have an exercise price of $0.00001 per share and the accompanying warrants will have an exercise price of $5.00 per share. The pre-funded warrants and the accompanying warrants will be immediately exercisable. The pre-funded warrants do not expire and the accompanying warrants will expire five years from the date of issuance.

The closing of the Offering is expected to occur on or about February 8, 2023, subject to customary closing conditions. The gross proceeds from the Offering are expected to be approximately $10 million, before deducting fees to the placement agents and other estimated offering expenses payable by DURECT. DURECT intends to use the net proceeds of the Offering for general corporate purposes, which may include clinical trials, research and development activities, capital expenditures, selling, general and administrative costs, facilities expansion, and to meet working capital needs.

Cantor Fitzgerald & Co. and Oppenheimer & Co. Inc. are acting as lead placement agents for the Offering.

The Offering is being made pursuant to a "shelf" registration statement on Form S-3 (File No. 333-258333) previously filed by DURECT with the Securities and Exchange Commission (the "SEC") on July 30, 2021 and declared effective by the SEC on August 16, 2021. The Offering is being made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement. The prospectus supplement and the accompanying prospectus relating to, and describing the terms of, the Offering will be filed with the SEC. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies of the prospectus supplement and accompanying prospectus can be obtained from Cantor Fitzgerald & Co., at 499 Park Avenue, New York, New York 10022, Attention: Equity Capital Markets, with copies to Cantor Fitzgerald & Co., 499 Park Avenue, New York, New York 10022, Attention: General Counsel, and Oppenheimer & Co. Inc., Attention: Syndicate Prospectus Department, 85 Broad Street, 26th floor, New York, NY 10004, by telephone at (212) 667-8055, or by email at [email protected].

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 other 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 other jurisdiction.



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