HANGZHOU, China, April 18,
2023 /PRNewswire/ -- China
Jo-Jo Drugstores, Inc. (Nasdaq: CJJD) ("Jo-Jo Drugstores" or
the "Company"), a leading online and offline retailer, wholesale
distributor of pharmaceutical and other healthcare products and
healthcare provider in China,
today announced that it has entered into a definitive agreement
with an institutional investor (the "Investor") providing for the
issuance of 2,258,888 ordinary
shares, at a purchase price of $3.10 per share, in a registered direct
offering for aggregate gross proceeds of approximately $7 million. Jo-Jo Drugstores also agreed to issue
to the Investor registered warrants to purchase up to 4,517,776 ordinary shares. The warrants will
have a term of five years, be exercisable immediately at an
exercise price of $3.10 per share.
The closing of the sale of the securities is expected to occur on
or about April 20, 2023, subject to
satisfaction of customary closing conditions.
Jo-Jo Drugstores intends to use the net proceeds from the
offering for general corporate purposes and working capital.
Maxim Group LLC ("Maxim") is acting as the sole placement agent
in connection with this offering.
The ordinary shares and warrants described above are being
offered pursuant to a "shelf" registration statement on Form F-3
(File No. 333-259692), which was declared effective by the United
States Securities and Exchange Commission (the "SEC") on
December 19, 2022. The ordinary
shares and warrants described above may be offered only by means of
a prospectus, including a prospectus supplement, forming a part of
the effective registration statement. A prospectus supplement
related to the offering will be filed with the SEC and available on
the SEC's website at http://www.sec.gov. Copies of the prospectus
supplements relating to the offering may be obtained, when
available, by contacting: Maxim Group LLC, 300 Park Avenue, 16th
Floor, New York, NY 10022, by
telephone: at (212) 895-3500.
This press release shall not constitute an offer to sell or a
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 the registration or
qualification under the securities laws of any such state or
jurisdiction.
About China Jo-Jo Drugstores,
Inc.
China Jo-Jo Drugstores, Inc.
("Jo-Jo Drugstores" or the "Company"), is a leading online and
offline retailer and wholesale distributor of pharmaceutical and
other healthcare products and a provider of healthcare services in
China. Jo-Jo Drugstores currently
operates an online pharmacy and retail drugstores with licensed
doctors on site for consultation, examination and treatment of
common ailments at scheduled hours. It is also a wholesale
distributor of products similar to those carried in its pharmacies.
For more information about the Company, please visit
http://jiuzhou360.com. The Company routinely posts important
information on its website.
Forward-Looking Statements
This press release contains information about the Company's view
of its future expectations, plans and prospects that constitute
forward-looking statements. Actual results may differ materially
from historical results or those indicated by these forward-looking
statements as a result of a variety of factors including, but not
limited to, risks and uncertainties associated with its ability to
raise additional funding, its ability to maintain and grow its
business, variability of operating results, its ability to maintain
and enhance its brand, its development and introduction of new
products and services, the successful integration of acquired
companies, technologies and assets into its portfolio of products
and services, marketing and other business development initiatives,
competition in the industry, general government regulation,
economic conditions, dependence on key personnel, the ability to
attract, hire and retain personnel who possess the technical skills
and experience necessary to meet the requirements of its clients,
and its ability to protect its intellectual property. The Company's
encourages you to review other factors that may affect its future
results in the Company's annual reports and in its other filings
with the Securities and Exchange Commission.
For more information, please contact:
Company Contact:
Frank Zhao
Chief Financial Officer
+86-571-88077108
frank.zhao@jojodrugstores.com
Investor Relations Contact:
Tina Xiao
Ascent Investor Relations LLC
+1-917-609-0333
tina.xiao@ascent-ir.com
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SOURCE China Jo-Jo Drugstores,
Inc.