Rockwell Medical Announces $35.0 Million Registered Direct Offering Priced At-The-Market under Nasdaq Rules
September 23 2020 - 08:44AM
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 issue date.
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: placements@hcwco.com or by telephone: (646)
975-6996.
This press release does not constitute an offer
to sell or the solicitation of an offer to buy, nor there any sales
of these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such jurisdiction.
About Rockwell Medical
Rockwell Medical is a biopharmaceutical company
dedicated to transforming iron deficiency and anemia management in
a wide variety of therapeutic areas and across the globe, improving
the lives of very sick patients. The Company’s initial focus is the
treatment of anemia in end-stage kidney disease (ESKD). Rockwell
Medical's exclusive renal drug therapies, Triferic (ferric
pyrophosphate citrate) Dialysate and Triferic AVNU, are the only
FDA-approved therapeutics indicated for iron replacement and
maintenance of hemoglobin in hemodialysis patients. Rockwell
Medical is also an established manufacturer, supplier and leader in
delivering high-quality hemodialysis concentrates/dialysates to
dialysis providers and distributors in the U.S. and abroad.
Forward-Looking Statements
Certain statements in this press release may
constitute “forward-looking statements” within the meaning of the
federal securities laws, including, but not limited to, statements
related to our ability to close the offering, the gross proceeds
from the offering and the use of proceeds. Words such as, “may,”
“might,” “will,” “should,” “believe,” “expect,” “anticipate,”
“estimate,” “continue,” “could,” “can,” “would,” “develop,” “plan,”
“potential,” “predict,” “forecast,” “project,” “intend” or the
negative of these terms, and similar expressions, or statements
regarding intent, belief, or current expectations, are forward
looking statements. While Rockwell Medical believes these
forward-looking statements are reasonable, undue reliance should
not be placed on any such forward-looking statements, which are
based on information available to us on the date of this release.
These forward-looking statements are based upon current estimates
and assumptions and are subject to various risks and uncertainties
(including, without limitation, those set forth in Rockwell
Medical’s SEC filings), many of which are beyond our control and
subject to change. Actual results could be materially different.
Risks and uncertainties include, but are not limited to: market and
other conditions, the impact of the COVID-19 pandemic (including,
applicable federal, state or local orders) on business and
operating results; and those risks more fully discussed in the
“Risk Factors” section of our Quarterly Report on Form 10-Q for the
period ended June 30, 2020 and of our Annual Report on Form 10-K
for the year ended December 31, 2019, as such description may be
amended or updated in any future reports we file with the SEC.
Rockwell Medical expressly disclaims any obligation to update our
forward-looking statements, except as may be required by law.
Triferic® is a registered trademark of Rockwell
Medical, Inc. Triferic AVNU is pending with the U.S. Patent and
Trademark Office. All other product names, logos, and brands are
property of their respective owners in the United States and/or
other countries. All company, product and service names used on
this website are for identification purposes only. Use of these
names, logos, and brands does not imply endorsement.
CONTACTS
Investors:Argot
Partners212.600.1902Rockwell@argotpartners.com
Media:David RosenArgot
Partners212.600.1902david.rosen@argotpartners.com
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