Auris Medical Announces Pricing of $10 Million Public Offering
February 15 2017 - 8:30AM
Zug, Switzerland, February 15, 2017 - Auris Medical
Holding AG (NASDAQ: EARS), a clinical-stage company dedicated to
developing therapeutics that address important unmet medical needs
in otolaryngology, today announced the pricing of its previously
announced public offering of 10,000,000 common shares and
10,000,000 warrants, each warrant entitling its holder to purchase
0.70 of a common share. The common shares and warrants are
being sold in units comprised of one common share and one warrant
at the public offering price of $1.00 per unit. The anticipated
gross proceeds amount to $10 million. The warrants will be
immediately exercisable at a price of $1.20 per common share and
are exercisable for five years. In connection with the offering,
the Company has granted the underwriter a 30-day option to purchase
up to 1,500,000 additional common shares and/or 1,500,000
additional warrants at the public offering price less underwriting
discounts.
All of the units are being offered by the Company.
The offering is expected to close on or about February 21, 2017,
subject to customary closing conditions. After deducting the
underwriting discount and other estimated offering expenses, the
net proceeds of the public offering are expected to be
approximately $9.1 million. The Company intends to use the net
proceeds from the offering for working capital and general
corporate purposes. The net proceeds amount excludes the proceeds,
if any, from the exercise of warrants issued pursuant to this
offering.
Roth Capital Partners is acting as sole
book-running manager in the offering. Maxim Group LLC is acting as
a financial advisor in the offering.
A registration statement relating to these
securities has been filed with the Securities and Exchange
Commission (SEC) and was declared effective on September 10, 2015.
The offering will be made only by means of a prospectus supplement.
A final prospectus supplement and accompanying prospectus relating
to the offering will be filed with the SEC. Electronic copies of
the final prospectus supplement and accompanying prospectus
relating to the offering may be obtained from Roth Capital Partners
at 888 San Clemente Drive, Newport Beach, CA 92660 or by calling
1-800-678-9147, or by accessing the SEC's website at
www.sec.gov.
This press release shall not constitute an offer to
sell or the 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 registration
or qualification under the securities laws of any such state or
jurisdiction.
About Auris Medical
Auris Medical is a Swiss biopharmaceutical company
dedicated to developing therapeutics that address important unmet
medical needs in otolaryngology. The Company is focused on the
Phase 3 development of treatments for acute inner ear hearing loss
(AM-111) and for acute inner ear tinnitus (Keyzilen®; AM-101) by
way of intratympanic administration with biocompatible gel
formulations. In addition, Auris Medical is pursuing intranasal
betahistine for Meniere's disease and vestibular vertigo (AM-125)
and early-stage research and development projects. The Company was
founded in 2003 and is headquartered in Zug, Switzerland. The
shares of Auris Medical Holding AG trade on the NASDAQ Global
Market under the symbol "EARS."
Forward-looking Statements
This press release may contain statements that
constitute "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Forward-looking statements are
statements other than historical fact and may include statements
that address future operating, financial or business performance or
Auris Medical's strategies or expectations. In some cases, you can
identify these statements by forward-looking words such as "may,"
"might," "will," "should," "expects," "plans," "anticipates,"
"believes," "estimates," "predicts," "projects," "potential,"
"outlook" or "continue," and other comparable terminology.
Forward-looking statements are based on management's current
expectations and beliefs and involve significant risks and
uncertainties that could cause actual results, developments and
business decisions to differ materially from those contemplated by
these statements. These risks and uncertainties include, but are
not limited to, prevailing market conditions, whether the Company
will consummate the offering of shares and warrants on the expected
terms, or at all, the satisfaction of closing conditions related to
the offering and risks related to the application of the net
proceeds, if any, from the offering. There can be no assurance that
the Company will be able to complete the offering at the
anticipated size or on the anticipated terms, or at all. In any
event, the Company may continue to need additional funding and may
be unable to raise capital when needed, which could force the
Company to delay, reduce or eliminate its product development
programs or commercialization efforts. Other risks and
uncertainties relating to the Company's business include the timing
and conduct of clinical trials of Auris Medical's product
candidates, including the likelihood that the TACTT3 clinical trial
with Keyzilen® will not meet its endpoints, the clinical utility of
Auris Medical's product candidates, the timing or likelihood of
regulatory filings and approvals, Auris Medical's intellectual
property position and Auris Medical's financial position, including
the impact of any future acquisitions, dispositions, partnerships,
license transactions or changes to Auris Medical's capital
structure, including future securities offerings. These risks and
uncertainties also include, but are not limited to, those described
under the caption "Risk Factors" in Auris Medical's Annual Report
on Form 20-F, in Auris Medical's Report on Form 6-K filed on
November 10, 2016 and future filings with the Securities and
Exchange Commission. Forward-looking statements speak only as of
the date they are made, and Auris Medical does not undertake any
obligation to update them in light of new information, future
developments or otherwise, except as may be required under
applicable law. All forward-looking statements are qualified in
their entirety by this cautionary statement.
Company contact: Cindy McGee, Head of Investor
Relations and Corporate Communications, +41 61 201 1350,
investors@aurismedical.com
Media contact: David Schull, Russo Partners,
1-858-717-2310, david.schull@russopartnersllc.com
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