Renalytix Announces Financing with Expected Size of up to $4 Million

LONDON and SALT LAKE CITY, April 08, 2024 (GLOBE NEWSWIRE) -- Renalytix plc (NASDAQ: RNLX) (LSE: RENX) announces a registered direct offering of ordinary shares at a purchase price equivalent to $0.75 per NASDAQ ADS ($0.375 per common stock share) (£0.0025 each) (the “Ordinary Shares”) (the “Fundraise”) to DB Capital Partners Healthcare, L.P. (the “Purchaser”), a specialty healthcare institutional investor focused on innovative medical technology that fundamentally changes critical global diseases care. The Fundraise was conducted by way of a securities purchase agreement between the Purchaser and the Company which consists of an initial tranche of 2,666,667 Ordinary Shares initially for an amount of $1.0 million (the “Initial Tranche Shares”) with an optional subsequent tranche of Ordinary Shares at the option of the Purchaser. Both tranches are priced at $0.75 per NASDAQ ADS ($0.375 per Ordinary Share). The aggregate total amount for both tranches, if the option is fully exercised, is expected to be up to $4 million in total financing. The net proceeds of the Fundraise will be used to support commercial sales activity as the Company continues its Formal Sale Process, as previously announced.

Highlights

• The Fundraise comprises a $1 million registered direct offering of the Initial Tranche Shares at $0.75 NASDAQ ADS ($0.375 per Ordinary Share), and an optional subsequent tranche at the same purchase price, exercisable at the purchaser’s option until April 17, 2024.
• The sale and purchase of the Initial Tranche Shares and, if applicable, the Subsequent Tranche Shares (as defined below) shall complete no later than 11 April 2024 (“Initial Closing”) and 19 April 2024 (“Subsequent Closing”), respectively.
• The net proceeds of the Fundraise will be used to support commercial sales activity and provide enhanced optionality as the Company continues its ongoing Formal Sale Process, as previously announced.
  

Pursuant to the securities purchase agreement entered into between the Company and the Purchaser on 5 April 2024 (the “Securities Purchase Agreement”), the Purchaser may, upon notice to the Company to be given no later than 5:00 p.m. New York time on 17 April 2024 (the “Subsequent Tranche Notice”), subscribe for an optional subsequent tranche of Ordinary Shares (the “Subsequent Tranche Shares”). The Subsequent Tranche Shares shall not be more than such number of Ordinary Shares that the directors of the Company (the “Directors”) are authorised to allot and issue on a non-pre-emptive basis as of the date of the Subsequent Tranche Notice under the existing authorities granted at the Company’s Annual General Meeting held on 15 December 2023. Any additional funding to be raised from issuing and allotting Ordinary Shares or other securities above existing authorities available shall be subject to the Company securing further authorities to allot and issue on a non-pre-emptive basis through a general meeting.