Rockwell Medical Announces $35.0 Million Registered Direct Offering Priced At-The-Market under Nasdaq Rules
WIXOM, Mich., Sept. 23, 2020 (GLOBE NEWSWIRE) -- Rockwell Medical, Inc. (Nasdaq: RMTI) (“Rockwell Medical” or the “Company”), a biopharmaceutical company dedicated to transforming the treatment of
iron deficiency and anemia management and improving outcomes for patients around the world, today announced that it has entered into securities purchase agreements with several healthcare-focused
and other institutional investors to purchase 23,178,809 of its shares of common stock (or common stock equivalents in lieu thereof) and short-term warrants to purchase up to an aggregate of
23,178,809 shares of common stock, in a registered direct offering priced at-the-market under Nasdaq rules. The combined purchase price for one share of common stock (or common stock
equivalent) and a warrant to purchase one share of common stock is $1.51. The warrants have an exercise price of $1.80 per share, will be immediately exercisable, and will expire 24 months from the
H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.
The gross proceeds from the registered direct offering are expected to be approximately $35.0 million before deducting placement agent fees and other offering expenses. The Company intends to use the net proceeds to advance the development of ferric pyrophosphate citrate (FPC), currently indicated for the maintenance of hemoglobin in dialysis, in new indications, including for the treatment of anemia in the home infusion setting, as well as for working capital and general corporate purposes. The registered direct offering is expected to close on or about September 25, 2020, subject to the satisfaction of customary closing conditions.
The securities described above are being offered pursuant to a "shelf" registration statement (File No. 333-227363) filed with the Securities and Exchange Commission (SEC) on September 14, 2018 and declared effective on October 1, 2018. Such securities may be offered 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 securities will be filed with the SEC. Electronic copies of the prospectus supplement and the accompanying prospectus relating to the offering of the securities 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 e-mail: email@example.com or by telephone: (646) 975-6996.