Biodexa Pharmaceuticals PLC Announces Closing of $3.32 Million Registered Direct Offering

26 May 2023

Biodexa Pharmaceuticals PLC Announces Closing of $3.32 Million Registered Direct Offering

              Biodexa Pharmaceuticals PLC (“Biodexa” or the “Company”) (NASDAQ: BDRX), a clinical stage biopharmaceutical company developing a pipeline of products aimed at primary and metastatic cancers of the brain, today announced the closing of its previously announced registered direct offering (the “Registered Direct Offering”) of 22,135,922 new American Depositary Shares (“the Registered ADSs”) at a price of US$0.15 (equivalent to approximately US$0.03 per ordinary share).

               The net proceeds to Biodexa from the Registered Direct Offering were approximately US$2.61 million (£2.11 million), after deducting the placement agent’s fees and other estimated expenses. The Company intends to use the proceeds for working capital and for general corporate purposes. Following the Registered Direct Offering, the Company is expected to have sufficient cash resources to fund operations into the first quarter of 2024.

Ladenburg Thalmann & Co. Inc. acted as the exclusive placement agent for the Registered Direct Offering.

In addition, subject to Biodexa shareholder approvals, the purchasers will be issued (i) 33,203,883 Series C warrants (the “Series C Warrants”) to purchase up to 33,203,883 new American Depositary Shares (the “Series C Warrant ADSs”) and (ii) 22,135,922 Series D warrants (the “Series D Warrants” and, together with the Series C Warrants, the “Warrants”) to purchase up to 22,135,922 new American Depositary Shares (the “Series D Warrant ADSs” and, together with the Series C Warrant ADSs, the “Warrant ADSs”), in a Private Placement (together with the Registered Direct Offering, the “Offering”).  The Warrants are exercisable at an exercise price of US$0.20 per American Depositary Share. The Series C Warrants will expire one year from the initial exercise date and may be exercised on a cashless basis. The Series D Warrants will expire five years from the initial exercise date and may be exercised on a cashless basis if and only if the Company has not filed a registration statement registering the Warrant Shares underlying the Series D warrants within six months of the initial exercise date.