Filed
Pursuant to Rule 424(b)(5)
Registration
No. 333-251859
PROSPECTUS
SUPPLEMENT
(To
the Prospectus Dated January 12, 2021)
1,570,683
Shares of Common Stock
We
are offering 1,570,683 shares of our common stock, $0.001 par value per share, at a purchase price of $1.91 per share of common stock
(the “common stock”) directly to institutional investors pursuant to this prospectus supplement and the accompanying prospectus.
In
a concurrent private placement, we are also selling to the investors private placement warrants to purchase 1,570,683 shares of our common
stock at an exercise price of $1.78 per share (the “private placement warrants”). The private placement warrants and the
shares of common stock issuable upon the exercise of such warrants are not being registered under the Securities Act of 1933, as amended,
or the Securities Act, and are not being offered pursuant to this prospectus supplement and the accompanying prospectus and are being
offered pursuant to an exemption from the registration requirements of the Securities Act provided in Section 4(a)(2) of the Securities
Act and/or Rule 506 of Regulation D promulgated thereunder. The private placement warrants are immediately exercisable upon issuance
and will expire five years from the issuance date.
Our
common stock is traded on the Nasdaq Capital Market (“Nasdaq”) under the symbol “BSGM.” On May 28, 2024, the
last reported sale price of our common stock on Nasdaq was $2.06 per share.
There
is no established public trading market for the private placement warrants and we do not expect a market to develop. In addition, we
do not intend to list the private placement warrants on Nasdaq, or any other national securities exchange or any other nationally recognized
trading system.
As
of May 28, 2024, the aggregate market value of our outstanding common stock held by non-affiliates was approximately $23,759,443 based
on 12,551,413 shares of common stock held by non-affiliates on such date and based on the last reported sale price of our common stock
on such date of $2.06 per share. In no event will we sell securities pursuant to a Registration Statement on Form S-3 in a public primary
offering with value exceeding more than one-third of our public float in any 12-month calendar period so long as our public float remains
below $75 million and General Instruction I.B.6 of Registration Statement on Form S-3 continues to apply to us. As of the date of this
prospectus supplement, we have not sold any securities pursuant to General Instruction I.B.6. of Registration Statement on Form S-3 during
the prior 12-month calendar period that ends on, and includes, the date of this prospectus supplement (but excluding this offering).
Investing
in our securities involves a high degree of risk. See “Risk Factors” section beginning on page S -4
of this prospectus supplement and page 6 of the accompanying prospectus, and in our Annual Report on Form 10-K and our other reports
filed with the Securities and Exchange Commission, which are incorporated into this prospectus supplement and the accompanying prospectus
by reference, for a discussion of information that should be considered in connection with an investment in our securities.
Neither
the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed
upon the accuracy or adequacy of this prospectus supplement or the accompanying prospectus. Any representation to the contrary is a criminal
offense.
| |
Per Share | | |
Total | |
Offering price | |
$ | 1.91 | | |
$ | 3,000,004 | |
Placement Agent fees(1) | |
$ | 0.1337 | | |
$ | 210,000 | |
Proceeds to us, before expenses(2) | |
$ | 1.7763 | | |
$ | 2,790,004 | |
(1)
We will pay the Placement Agent (as defined below) a cash fee equal to 7.0% of the aggregate gross proceeds of this offering. We have
also agreed to (i) pay the Placement Agent a management fee equal to 1.0% of the aggregate gross proceeds of this offering and (ii) reimburse
certain expenses of the placement in connection with this offering. In addition, we agreed to issue to the Placement Agent or its designees
as compensation in connection with this offering, warrants to purchase up to 109,948 shares of common stock at an exercise price of $2.3875
per share (the “Placement Agent Warrants”). See “Plan of Distribution” on page S-12 of this prospectus supplement
for more information regarding the Placement Agent’s compensation.
(2)
The amount of the offering proceeds to us presented in this table does not give effect to the exercise, if any, of the warrants issued
in the private placement or the Placement Agent Warrants.
We
have engaged H.C. Wainwright & Co., LLC (the “Placement Agent”) to act as our exclusive placement agent in connection
with this offering. The Placement Agent is not purchasing or selling any of the securities we are offering, and the Placement Agent is
not required to arrange the purchase or sale of any specific number of securities or dollar amount, but it has agreed to use its reasonable
best efforts to arrange for the sale of all of the securities. There is no required minimum number of securities that must be sold as
a condition to completion of this offering, and there are no arrangements to place the funds in an escrow, trust, or similar account.
We
are a “smaller reporting company” under the federal securities laws and, as such, we have elected to comply with certain
reduced public company reporting requirements and scaled disclosures for this prospectus supplement and future filings. See “Prospectus
Supplement Summary — Implication of Being a Smaller Reporting Company.”
We
expect to deliver the shares of common stock on or about May 30, 2024, subject to satisfaction of customary closing conditions.
H.C.
Wainwright & Co.
The
date of this prospectus supplement is May 29, 2024
TABLE
OF CONTENTS
PROSPECTUS
No
dealer, salesperson or other person is authorized to give any information or to represent anything not contained in this prospectus supplement
or the accompanying prospectus. You must not rely on any unauthorized information or representations. This prospectus supplement and
the accompanying prospectus are an offer to sell only the securities offered hereby, but only under circumstances and in jurisdictions
where it is lawful to do so. The information contained in this prospectus supplement and the accompanying prospectus is current only
as of their respective dates.
ABOUT
THIS PROSPECTUS SUPPLEMENT
This
prospectus supplement and the accompanying prospectus are part of a registration statement on Form S-3 (File No. 333-251859) that we
filed with the U.S. Securities and Exchange Commission (the “SEC”) utilizing a “shelf” registration process.
This document is in two parts. The first part is this prospectus supplement, which describes the specific terms of this offering and
also adds to and updates information contained in the accompanying prospectus and the documents incorporated by reference herein. The
second part, the accompanying prospectus, provides more general information. Generally, when we refer to this prospectus, we are referring
to both parts of this document combined. To the extent there is a conflict between the information contained in this prospectus supplement
and the information contained in the accompanying prospectus or any document incorporated by reference therein filed prior to the date
of this prospectus supplement, you should rely on the information in this prospectus supplement; provided that if any statement in one
of these documents is inconsistent with a statement in another document having a later date-for example, a document incorporated by reference
in the accompanying prospectus-the statement in the document having the later date modifies or supersedes the earlier statement.
We
further note that the representations, warranties and covenants made by us in any agreement that is filed as an exhibit to any document
that is incorporated by reference herein were made solely for the benefit of the parties to such agreement, including, in some cases,
for the purpose of allocating risk among the parties to such agreements, and should not be deemed to be a representation, warranty or
covenant to you. Moreover, such representations, warranties or covenants were accurate only as of the date when made. Accordingly, such
representations, warranties and covenants should not be relied on as accurately representing the current state of our affairs.
You
should rely only on the information contained in this prospectus supplement or the accompanying prospectus, or incorporated by reference
herein. We have not, and the Placement Agent has not, authorized any other person to provide you with different information. The information
contained in this prospectus supplement or the accompanying prospectus, or incorporated by reference herein or therein is accurate only
as of the respective dates thereof, regardless of the time of delivery of this prospectus supplement and the accompanying prospectus
or of any sale of our common stock. It is important for you to read and consider all information contained in this prospectus supplement
and the accompanying prospectus, including the documents incorporated by reference herein and therein, in making your investment decision.
You should also read and consider the information in the documents to which we have referred you in the sections entitled “Where
You Can Find More Information” and “Incorporation of Certain Information by Reference” in this prospectus supplement
and in the sections entitled “Where You Can Find More Information” and “Incorporation of Documents by Reference”
in the accompanying prospectus.
This
prospectus supplement and the accompanying prospectus contain and incorporate by reference market data and industry statistics and forecasts
that are based on independent industry publications and other publicly-available information. Although we believe these sources are reliable,
we do not guarantee the accuracy or completeness of this information and we have not independently verified this information. Although
we are not aware of any misstatements regarding the market and industry data presented in this prospectus supplement, accompanying prospectus
or the documents incorporated herein by reference, these estimates involve risks and uncertainties and are subject to change based on
various factors, including those discussed in the section entitled “Risk Factors” in this prospectus supplement and the accompanying
prospectus, and under similar headings in the other documents that are incorporated herein by reference. Accordingly, investors should
not place undue reliance on this information.
We
are offering to sell, and seeking offers to buy, the securities offered by this prospectus supplement only in jurisdictions where offers
and sales are permitted. The distribution of this prospectus supplement and the accompanying prospectus and the offering of the securities
offered by this prospectus supplement in certain jurisdictions may be restricted by law. Persons outside the United States who come into
possession of this prospectus supplement and the accompanying prospectus must inform themselves about, and observe any restrictions relating
to, the offering of the common stock and the distribution of this prospectus supplement and the accompanying prospectus outside the United
States. This prospectus supplement and the accompanying prospectus do not constitute, and may not be used in connection with, an offer
to sell, or a solicitation of an offer to buy, any securities offered by this prospectus supplement and the accompanying prospectus by
any person in any jurisdiction in which it is unlawful for such person to make such an offer or solicitation.
All
references in this prospectus supplement and the accompanying prospectus to “BioSig,” the “Company,” “we,”
“us,” “our,” or similar terms refer to BioSig Technologies, Inc. and its subsidiaries taken as a whole, except
where the context otherwise requires or as otherwise indicated. BioSig’s name and logo are either registered trademarks or trademarks
of BioSig Technologies, Inc. in the United States and/or other countries. All other trademarks, service marks or other tradenames appearing
in this prospectus supplement and the accompanying prospectus are the property of their respective owners.
This
prospectus supplement includes our trademarks, trade names and service marks, such as PURE EP™ Platform, which is protected under
applicable intellectual property laws and are the property of BioSig Technologies, Inc., or its subsidiaries. Solely for convenience,
trademarks, trade names and service marks referred to in this prospectus supplement may appear without the ®, ™ or SM symbols,
but such references are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our
rights or the right of the applicable licensor to these trademarks, trade names and service marks. We do not intend our use or display
of other parties’ trademarks, trade names or service marks to imply, and such use or display should not be construed to imply,
a relationship with, or endorsement or sponsorship of us by, these other parties.
PROSPECTUS
SUPPLEMENT SUMMARY
This
summary highlights selected information about us, this offering and information appearing elsewhere in this prospectus supplement, in
the accompanying prospectus and in the documents incorporated by reference herein and therein. This summary is not complete and does
not contain all the information you should consider before investing in our securities pursuant to this prospectus supplement and the
accompanying prospectus. Before making an investment decision, to fully understand this offering and its consequences to you, you should
carefully read this entire prospectus supplement and the accompanying prospectus, including “Risk Factors,” the
financial statements, and related notes, and the other information incorporated by reference herein and therein.
Overview
BioSig
Technologies is a medical device company with an advanced digital signal processing technology platform to deliver insights to the treatment
of cardiovascular arrhythmias. Through collaboration with physicians, experts, and healthcare leaders across the field of electrophysiology
(EP), we are committed to addressing healthcare’s biggest priorities — saving time, saving costs, and saving lives.
Our
first product, the PURE EP™ System, is an FDA 510(k) cleared non-invasive class II device consisting of a unique combination of
hardware and software designed to provide unprecedented signal clarity and precision for real-time visualization of intracardiac signals
paving the way for personalized patient care. Integrating with existing systems in the EP lab, PURE EP™ is designed to accurately
pinpoint even the most complex signals to maximize procedural success and efficiency.
By
capturing critical cardiac signals—even the most complex, the PURE EP™ System is designed to enhance clinical decision-making
and improve clinical workflow for all types of arrhythmias - even the most challenging procedures for cardiac arrhythmias, like ventricular
tachycardia (VT) and atrial fibrillation (AF).
Our
owned patent portfolio now includes 36 (issued/allowed) issued utility patents (24 utility patents where BioSig is at least one of the
applicants). Twenty five additional U.S. and foreign utility patent applications are pending covering various aspects of our PURE EP
System for recording, measuring, calculating and displaying of electrocardiograms during cardiac ablation procedures (25 U.S. and foreign
utility patent applications where either BioSig, Mayo, or both is at least one of the applicants). We also have one U.S. patent and one
U.S. Pending application directed to artificial intelligence (AI). We also have 30 issued worldwide design patents, which cover various
features of our display screens and graphical user interface for enhanced visualization of biomedical signals (30 design patents where
BioSig is at least one of the applicants). Finally, we have licenses to 12 (issued/allowed) patents and 9 additional worldwide utility
patent applications from Mayo Foundation for Medical Education and Research that are pending (12 issued/allowed patents and 9 applications
where only Mayo is the applicant). These patents and applications are generally directed to electroporation and stimulation.
Reverse
Stock Split
On
January 31, 2024, the Company filed a Reverse Stock Split Amendment with the Secretary of State of the State of Delaware, effective February
2, 2024. Pursuant to the Reverse Stock Split Amendment, the Company effected a 1-for-10
reverse stock split of its issued and outstanding shares of common stock. Authorized common and
preferred stock was not adjusted because of the reverse stock split. Unless the context expressly dictates otherwise, all references
to share and per share amounts referred to herein give effect to the reverse stock split.
Notices
of Delisting
On
March 5, 2024, the Company received a letter from the Listing Qualifications Department of Nasdaq (the “Staff”) stating that
the Company has not regained compliance with Listing Rule 5550(a)(2) because the Company’s common stock did not meet the minimum
bid price of $1.00 per share required for continued listing on The Nasdaq Capital Market, and the Company is not eligible for a second
180 day cure period under Rule 5810(c)(3)(A)(2) because the Company does not comply with the $5,000,000 minimum stockholders’ equity
initial listing requirement for The Nasdaq Capital Market, and that accordingly, Nasdaq would delist the Company’s common stock
unless the Company requested an appeal of this determination. On March 11, 2024, the Company submitted a request for a hearing before
the Nasdaq Hearings Panel to appeal the Staff’s delisting determination.
On
March 12, 2024, the Company received a letter from the Staff stating that based upon the Staff’s review of the Company and pursuant
to Listing Rule 5101, the Staff believes that the Company no longer has an operating business and is a “public shell,” and
that the continued listing of its securities is no longer warranted, in view of work force reductions and resignations of members of
the board of directors and officers.
The
letter further stated that the Company no longer meets the requirement of Rule 5550(b)(2) to maintain a minimum Market Value of Listed
Securities of $35 million, if none of the other standards set forth in Rule 5550(b) is met.
The
Staff stated that the foregoing matters serve as an additional basis for delisting the Company’s common stock from The Nasdaq Stock
Market, and that the Hearings Panel will consider this matter in rendering a determination regarding the Company’s continued listing
on The Nasdaq Capital Market.
The
Company appealed the foregoing determinations. The requested hearing before the Hearings Panel was held on May 7, 2024.
On
May 6, 2024, the Company received a letter from the Staff stating that the Company has regained compliance with the bid price requirements
in Listing Rule 5550(a)(2) because the bid price of the common stock closed at or above $1.00 per share for a period of 20 consecutive
business days, from April 8, 2024 to May 3, 2024.
On
May 28, 2024, the Company was notified by The Nasdaq Stock Market LLC that the Hearings Panel determined that the Company is not a
public shell and has granted the Company’s request for continued listing subject to, among other conditions, (i) the
Company’s compliance with all applicable criteria for continued listing on The Nasdaq Capital Market, including the $2.5
million stockholders’ equity requirement set forth in Nasdaq Listing Rule 5550(b)(1) (the “Equity Rule”), by June 6, 2024, (ii) on or before May 31, 2024, the Company must notify the Hearings Panel that it has completed the transactions described to the Hearings
Panel to achieve compliance with the Equity Rule and (iii) on or before June 6, 2024, the Company must file a Form 8-K describing these
transactions and indicating its post-transaction equity. There is no assurance that the Company will satisfy these conditions within the
timeline required by Nasdaq.
Recent
Developments
On
May 1, 2024, the Company entered into a securities purchase agreement with certain accredited investors, pursuant to which the Company
sold to the investors an aggregate of 783,406 shares of the Company’s common stock at a purchase price of $1.4605 per share, and
warrants to purchase up to 391,703 shares of common stock at an exercise price of $1.398 per share, that will become exercisable six
months after the date of issuance and will expire five and one-half years following the date of issuance, in exchange for aggregate consideration
of $1,144,164, including $634,999 in cash and $509,165 representing conversion of the principal balance of and accrued interest on a
previously issued related party note payable. The note was not convertible by its terms, but the holder agreed to convert it into shares
of common stock and warrants under the terms of the purchase agreement.
Corporate
Information
We
were formed as BioSig Technologies, Inc., a Nevada corporation, in February 2009. In April 2011, we merged with our wholly-owned subsidiary,
BioSig Technologies Inc., a Delaware corporation, with the Delaware corporation continuing as the surviving entity. Our principal executive
offices are located at 55 Greens Farms Road, 1st Floor, Westport, Connecticut 06880, and our telephone number is (203) 409-5444. Our
website address is www.biosig.com. Information accessed through our website is not incorporated into this prospectus supplement and is
not a part of this prospectus supplement.
Implications
of Being a Smaller Reporting Company
We
are a “smaller reporting company” as defined in Item 10(f)(1) of Regulation S-K. Smaller reporting companies may take advantage
of certain reduced disclosure obligations, including, among other things, providing only two years of audited financial statements. We
will remain a smaller reporting company until the last day of the fiscal year in which (i) the market value of our common stock held
by non-affiliates exceeds $250 million as of the prior June 30, or (ii) our annual revenue exceeded $100 million during such completed
fiscal year and the market value of our common stock held by non-affiliates exceeds $700 million as of the prior June 30.
THE
OFFERING
Common stock offered by us |
|
1,570,683 shares
of common stock. |
|
|
|
Common stock to be outstanding immediately after
this offering(1) |
|
14,122,096 shares of common
stock. |
|
|
|
Use of Proceeds |
|
We currently intend to
use the net proceeds from this offering for working capital and general corporate purposes. See “Use of Proceeds” on
page S-9 of this prospectus supplement. |
|
|
|
Risk Factors |
|
Investing in our securities
involves a high degree of risk. You should read the “Risk Factors” section beginning on page S-4 of this prospectus
supplement and page 6 of the accompanying prospectus and in the documents incorporated by reference in this prospectus supplement
and accompanying prospectus for a discussion of factors to consider before deciding to invest in our securities. |
|
|
|
The Nasdaq Capital Market symbol |
|
“BSGM” |
|
|
|
Concurrent Private Placement |
|
In a concurrent private
placement, we are selling to the purchasers of securities in this offering warrants to purchase up to 1,570,683 shares of our common
stock at an exercise price of $1.78 per share. We will receive proceeds from such warrants solely to the extent they are exercised
for cash. The warrants and the shares of our common stock issuable upon the exercise of the warrants are not being offered pursuant
to this prospectus supplement and the accompanying prospectus and are being offered pursuant to the exemption from registration provided
in Section 4(a)(2) under the Securities Act and/or Regulation D promulgated thereunder. There is no established public trading market
for the private placement warrants, and we do not expect a market to develop. The private placement warrants are exercisable immediately
upon issuance and will expire five years from the issuance date. See “Private Placement Transaction on page S-11 of this prospectus
supplement.” |
|
(1) |
The number of shares of common stock to be outstanding immediately after this offering is based on 12,551,413 shares of our common stock
outstanding as of May 29, 2024, and excludes as of such date: |
|
|
|
|
· |
2,570,744
shares of common stock issuable upon the exercise of warrants outstanding with an exercise price ranging from $1.398 to $61.60 per
share and having a weighted average exercise price of $7.3196 per share; |
|
· |
126,781
shares of common stock issuable upon the exercise of options outstanding with exercise prices ranging from $4.742 to $75.70 and having
a weighted average exercise price of $18.59 per share; |
|
· |
128,218
shares of common stock reserved for future issuance under our 2023 Long-Term Incentive Plan (the “2023 Plan”); |
|
· |
755,000
shares of common stock issuable from time to time after this offering upon the settlement of restricted stock units outstanding;
and |
|
· |
259,981
shares of common stock issuable upon conversion of outstanding Series C 9% Preferred Stock (the “Series C Preferred Stock”)
at the conversion price of $0.5302 per share and the stated value per share of $1,000 (which includes the payment of dividends accrued
on the Series C Preferred Stock in an aggregate of 61,943 shares of common stock as of May 29, 2024 at a conversion rate of $1.7712). |
Except
as otherwise indicated, the information in this prospectus supplement, including the number of shares of common stock that will be outstanding
after this offering assumes no exercise of the private placement warrants issued in the concurrent private placement or the Placement
Agent Warrants to be issued to the Placement Agent or its designees as compensation in connection with this offering.
RISK
FACTORS
An
investment in our securities involves a high degree of risk. Before deciding whether to invest in our securities, you should consider
carefully the risks described below, together with other information in this prospectus supplement, the accompanying prospectus, the
information and documents incorporated by reference. You should also consider the risks, uncertainties and assumptions discussed under
the heading “Risk Factors” included in our most recent annual report on Form 10-K and the subsequent quarterly
reports on Form 10-Q and other reports that we file with the SEC which are on file with the SEC and are incorporated herein by reference,
and which may be amended, supplemented or superseded from time to time by other reports we file with the SEC in the future. If any of
these risks actually occurs, our business, financial condition, results of operations or cash flow could be seriously harmed. This could
cause the trading price of our common stock to decline, resulting in a loss of all or part of your investment. The risks and uncertainties
described below are not the only ones facing us. Additional risks and uncertainties not presently known to us, or that we currently see
as immaterial, may also harm our business. Please also read carefully the section below entitled “Special Note Regarding
Forward-Looking Statements.”
Risks
Related to This Offering
Our
stock price is and may continue to be volatile and you may not be able to resell our common stock at or above the price you paid.
The
market price for our common stock is volatile and may fluctuate significantly in response to a number of factors, many of which we cannot
control, such as quarterly fluctuations in financial results, the timing and our ability to advance the development of our product candidates
or changes in securities analysts’ recommendations could cause the price of our stock to fluctuate substantially. Each of these
factors, among others, could harm your investment in our securities and could result in your being unable to resell the shares of our
common stock that you purchase at a price equal to or above the price you paid.
In
addition, the stock markets in general, and the markets for biotechnology stocks, have experienced extreme volatility that has at times
been unrelated to the operating performance of the issuer. Between May 28, 2023, and May 30, 2024, the closing sales price of our common
stock reported on Nasdaq has ranged between $15.50 and $2.06 per share. These broad market fluctuations may adversely affect the trading
price or liquidity of our common stock. In the past, when the market price of a stock has been volatile, holders of that stock have sometimes
instituted securities class action litigation against the issuer. If any of our stockholders were to bring such a lawsuit against us,
we could incur substantial costs defending the lawsuit and the attention of our management would be diverted from the operation of our
business.
There
is no public market for the private placement warrants in our concurrent private placement transaction.
There
is no established public trading market for the private placement warrants being offered in our concurrent private placement transaction,
and we do not expect a market to develop. In addition, we do not intend to apply for listing the private placement warrants on any national
securities exchange or other trading market. Without an active market, the liquidity of the private placement warrants will be limited.
Our
failure to meet the continued listing requirements of Nasdaq could result in a delisting of our common stock, which could negatively
impact the market price and liquidity of our common stock and our ability to access the capital markets.
Our
common stock is listed on the Nasdaq Capital Market. If we fail to satisfy the continued listing requirements of Nasdaq, such as minimum
bid price, shareholders’ equity, public float and other requirements, Nasdaq may take steps to delist our common stock. Such a
delisting would have a negative effect on the price of our common stock, impair the ability to sell or purchase our common stock when
persons wish to do so, and any delisting materially adversely affect our ability to raise capital or pursue strategic restructuring,
refinancing or other transactions on acceptable terms, or at all. Delisting from the Nasdaq Capital Market could also have other negative
results, including the potential loss of institutional investor interest and fewer business development opportunities. In the event of
a delisting, we would attempt to take actions to restore our compliance with Nasdaq’s listing requirements, but we can provide
no assurance that any such action taken by us would allow our common stock to become listed again, stabilize the market price or improve
the liquidity of our common stock, prevent our common stock from dropping below the Nasdaq minimum bid price requirement or prevent future
non-compliance with Nasdaq’s listing requirements.
On
March 5, 2024, we received a letter from the Listing Qualifications Department of Nasdaq (the “Staff”) stating that the Company
has not regained compliance with Listing Rule 5550(a)(2) because the Company’s common stock did not meet the minimum bid price
of $1.00 per share required for continued listing on The Nasdaq Capital Market, and the Company is not eligible for a second 180 day
cure period under Rule 5810(c)(3)(A)(2) because the Company does not comply with the $5,000,000 minimum stockholders’ equity initial
listing requirement for The Nasdaq Capital Market, and that accordingly, Nasdaq would delist the Company’s common stock unless
the Company requested an appeal of this determination. On March 11, 2024, the Company submitted a request for a hearing before the Nasdaq
Hearings Panel to appeal the Staff’s delisting determination.
On
March 12, 2024, we received a letter from the Staff stating that based upon the Staff’s review of the Company and pursuant to Listing
Rule 5101, the Staff believes that the Company no longer has an operating business and is a “public shell,” and that the
continued listing of its securities is no longer warranted, in view of work force reductions and resignations of members of the board
of directors and officers.
The
letter further stated that the Company no longer meets the requirement of Rule 5550(b)(2) to maintain a minimum Market Value of Listed
Securities of $35 million, if none of the other standards set forth in Rule 5550(b) is met.
The
Staff stated that the foregoing matters serve as an additional basis for delisting the Company’s common stock from The Nasdaq Stock
Market, and that the Hearings Panel will consider this matter in rendering a determination regarding the Company’s continued listing
on The Nasdaq Capital Market.
We
appealed the foregoing determinations. The requested hearing before the Hearings Panel was held on May 7, 2024.
On
May 6, 2024, the Company received a letter from the Staff stating that the Company has regained compliance with the bid price requirements
in Listing Rule 5550(a)(2) because the bid price of the common stock closed at or above $1.00 per share for a period of 20 consecutive
business days, from April 8, 2024, to May 3, 2024.
On
May 28, 2024, the Company was notified by The Nasdaq Stock Market LLC that the Hearings Panel determined that the Company is not a public
shell and has granted the Company’s request for continued listing subject to, among other conditions, (i) the Company’s compliance with all applicable criteria for continued listing on The Nasdaq Capital Market, including the Equity
Rule, by June 6, 2024, (ii) on or before May 31, 2024, the Company must notify the Hearings Panel that it has completed the transactions
described to the Hearings Panel to achieve compliance with the Equity Rule and (iii) on or before June 6, 2024, the Company must file
a Form 8-K describing these transactions and indicating its post-transaction equity. There is no assurance that the Company will satisfy
these conditions within the timeline required by Nasdaq.
On
May 28, 2024, the closing price of our Common Shares reported on the Nasdaq Capital Market was $2.06. We may need to seek to effect a
reverse stock split of our common stock in order to attempt to continue to comply with the Nasdaq minimum bid price requirements, which
could occur in the near term, but requires stockholder approval, of which there can be no assurance. We may be unable to complete a reverse
stock split, and even if we do, we may still be unable to meet the minimum bid price requirement, and we may be unable to meet other
applicable Nasdaq listing requirements, including maintaining minimum levels of stockholders’ equity or market values of our common
stock.
If
we fail to satisfy the continued listing requirements of Nasdaq, Nasdaq may take steps to delist our securities. Such a delisting would
likely have a negative effect on the price and liquidity of our common stock and would impair your ability to sell our common stock purchased
in this offering when you wish to do so. In the event of a delisting, we would take actions to restore our compliance with Nasdaq’s
listing requirements, but we can provide no assurance that any such action taken by us would allow our common stock to become listed
again, stabilize the market price or improve the liquidity of our securities, prevent our common stock from dropping below the Nasdaq
minimum share price requirement or prevent future non-compliance with Nasdaq’s listing requirements.
If
our common stock were to be delisted from Nasdaq, our common stock could begin to trade on one of the markets operated by OTC Markets
Group, including OTCQX, OTCQB or OTC Pink (formerly known as the “pink sheets”), as the case may be. In such event, our common
stock could be subject to the “penny stock” rules which, among other things, require brokers or dealers to approve investors’
accounts, receive written agreements and determine investor suitability for transactions and disclose risks relating to investing in
the penny stock market. Any such delisting of our common stock could have an adverse effect on the market price of, and the efficiency
of the trading market for, our common stock, not only in terms of the number of shares that can be bought and sold at a given price,
but also through delays in the timing of transactions and less coverage of us by securities analysts, if any. Also, if in the future
we were to determine that we need to seek additional equity capital, it could have an adverse effect on our ability to raise capital
in the public or private equity markets. In addition, there can be no assurance that our common stock would be eligible for trading on
any such alternative exchange or markets.
Delisting
from Nasdaq could adversely affect our ability to raise additional financing through public or private sales of equity securities, would
significantly affect the ability of investors to trade our securities and would negatively affect the value and liquidity of our common
stock. Delisting could also have other negative results, including the potential loss of confidence by employees, the loss of institutional
investor interest and fewer business development opportunities.
We
will have broad discretion in the use of the net proceeds from this offering and may allocate the net proceeds from this offering in
ways that you and other stockholders may not approve.
Our
management will have broad discretion in the use of the net proceeds, including for any of the purposes described in the section entitled
“Use of Proceeds,” and you will not have the opportunity as part of your investment decision to assess whether the net proceeds
are being used appropriately. Because of the number and variability of factors that will determine our use of the net proceeds from this
offering, their ultimate use may vary substantially from their currently intended use. The failure of our management to use these funds
effectively could have a material adverse effect on our business and cause the market price of our common stock to decline. Pending their
ultimate use, we intend to invest the net proceeds in short-term, investment-grade, interest-bearing instruments. These investments may
not yield a favorable return to our stockholders.
You
will experience immediate and substantial dilution in the book value per share of the common stock you purchase.
The
effective price per share of our common stock being offered in this offering exceeds the net tangible book value per share of our common
stock. Therefore, if you purchase securities in this offering, your interest will be diluted to the extent of the difference between
the effective price per share of common stock you pay and the pro forma as adjusted net tangible book value per share of common stock.
Based on the effective offering price of $1.91 per share of common stock, you will experience immediate dilution of $1.962 per
share, representing the difference between the effective offering price per share of common stock offered in this offering and our pro
forma as adjusted net tangible book value per share as of March 31, 2024, after giving effect to the Pro Forma Adjustments (as defined
herein), this offering, after deducting the placement agent fees and estimated offering expenses payable by us. The future exercise of
outstanding options and warrants will result in further dilution of your investment. See the section entitled “Dilution”
below for a more detailed discussion of the dilution you will incur if you purchase shares of our common stock in this offering.
You
may experience significant dilution as a result of future financings and the exercise of outstanding options or warrants.
In
order to raise additional capital, we may in the future offer additional shares of our common stock or other securities convertible into
or exchangeable for our common stock, including offerings pursuant to the accompanying prospectus. We cannot assure you that we will
be able to sell shares or other securities in any other offering at a price per share that is equal to or greater than the price per
share paid by investors in this offering, and investors purchasing shares or other securities in the future could have rights superior
to existing stockholders. The price per share at which we sell additional shares of our common stock or other securities convertible
into or exchangeable for our common stock in future transactions may be higher or lower than the price per share in this offering.
Future
sales of our common stock in the public market or other financings could cause our stock price to fall.
Sales
of a substantial number of shares of our common stock in the public market, the perception that these sales might occur or other financings,
could depress the market price of our common stock and could impair our ability to raise capital through the sale of additional equity
securities. A substantial majority of the outstanding shares of our common stock are freely tradable without restriction or further registration
under the Securities Act unless these shares are owned or purchased by “affiliates” as that term is defined in Rule 144 under
the Securities Act. In addition, shares of common stock issuable upon exercise of outstanding options, restricted stock units and shares
reserved for future issuance under our incentive stock plan will be eligible for sale in the public market to the extent permitted by
applicable vesting requirements and, in some cases, subject to compliance with the requirements of Rule 144. As a result, these shares
can be freely sold in the public market upon issuance, subject to restrictions under the securities laws.
We
do not intend to pay dividends on our common stock, so any returns will be limited to the value of our common stock.
We
currently anticipate that we will retain any future earnings to finance the continued development, operation and expansion of our business.
As a result, we do not anticipate declaring or paying any cash dividends or other distributions in the foreseeable future. Further, we
are currently restricted in our ability to pay dividends pursuant to the terms of our Series C Preferred Stock, absent consent from the
holders representing a super-majority of the outstanding shares of our Series C Preferred Stock and a certain investor. If we do not
pay dividends, our common stock may be less valuable because stockholders must rely on sales of their common stock after price appreciation,
which may never occur, to realize any gains on their investment.
If
we sell additional equity or debt securities to fund our operations, it may impose restrictions on our business.
In
order to raise additional funds to support our operations, we may sell additional equity or debt securities, which may impose restrictive
covenants that adversely impact our business. The incurrence of indebtedness would result in increased fixed payment obligations and
could also result in restrictive covenants, such as limitations on our ability to incur additional debt, limitations on our ability to
acquire, sell or license intellectual property rights and other operating restrictions that could adversely impact our ability to conduct
our business. If we are unable to expand our operations or otherwise capitalize on our business opportunities due to such restrictions,
our business, financial condition and results of operations could be materially adversely affected.
SPECIAL
NOTE REGARDING FORWARD-LOOKING STATEMENTS
This
prospectus supplement and the accompanying prospectus and the information incorporated by reference in this prospectus supplement and
the accompanying prospectus contain “forward-looking statements,” which include information relating to future events, future
financial performance, strategies, expectations, competitive environment and regulation. Words such as “may,” “should,”
“could,” “would,” “predicts,” “potential,” “continue,” “expects,”
“anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,”
and similar expressions, as well as statements in future tense, identify forward-looking statements. Forward-looking statements should
not be read as a guarantee of future performance or results and may not be accurate indications of when such performance or results will
be achieved. Forward-looking statements are based on information we have when those statements are made or our management’s good
faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance
or results to differ materially from those expressed in or suggested by the forward-looking statements. Important factors that could
cause such differences include, but are not limited to:
|
● |
our history of recurring
losses and negative cash flows from operating activities and the uncertainty regarding the adequacy of our liquidity to pursue or
complete our business objectives, and substantial doubt regarding our ability to continue as a going concern; |
|
● |
the results of ongoing
and future clinical studies; |
|
● |
our inability to successfully
develop or commercialize our product candidates; |
|
● |
market acceptance of existing
and new products; |
|
● |
our inability to carry
out research, development and commercialization plans; |
|
● |
delays in any phase of
the preclinical or clinical development of a product, including during its research and development; |
|
● |
our inability to complete
preclinical testing and clinical trials as anticipated; |
|
● |
changes in our relationship
with key collaborators; |
|
● |
our ability to adequately
protect and enforce rights to intellectual property; |
|
● |
our need to raise additional
capital to meet our business requirements in the future and the difficulties in obtaining financing on commercially reasonable terms,
or at all; |
|
● |
intense competition in
our industry, with competitors having substantially greater financial, technological, research and development, regulatory and clinical,
manufacturing, marketing and sales, distribution and personnel resources than we do; |
|
● |
our inability to manufacture
our PURE EP product on a commercial scale on our own or in collaborations with third parties; |
|
● |
entry of new competitors
and products and potential technological obsolescence of our products; |
|
● |
effect of healthcare legislation
or reform measures that may substantially change the market for medical care or healthcare coverage in the U.S.; |
|
● |
our failure to obtain regulatory
approvals; |
|
● |
adverse market and economic
conditions; |
|
● |
our ability to regain and
maintain the listing of our common stock on Nasdaq; |
|
● |
loss of one or more key
executives; |
|
● |
difficulties in securing
and retaining regulatory approval to market our product and product candidates; and |
|
● |
depth of the trading market
in our common stock. |
You
should review carefully the section entitled “Risk Factors” beginning on page S-4 of this prospectus supplement for a discussion
of these and other risks that relate to our business and investing in our securities. The forward-looking statements contained or incorporated
by reference in this prospectus supplement are expressly qualified in their entirety by this cautionary statement. Except as required
by applicable law, we do not undertake any obligation to publicly update any forward-looking statement contained in this prospectus supplement,
the accompanying prospectus or the documents incorporated by reference herein to reflect events or circumstances after the date on which
any such statement is made or to reflect the occurrence of unanticipated events. For all forward-looking statements, we claim the protection
of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.
DIVIDEND
POLICY
We
have never paid cash dividends on our common stock and do not anticipate paying any cash dividends in the foreseeable future but intend
to retain our capital resources for reinvestment in our business. Any future determination to declare dividends will be made at the discretion
of our board of directors and will depend on our financial condition, operating results, capital requirements, general business conditions
and other factors that our board of directors may deem relevant. Our ability to pay dividends is presently restricted pursuant to the
terms of our Series C Preferred Stock.
USE
OF PROCEEDS
We
estimate that the net proceeds from this offering will be approximately $2.5 million, and after deducting placement agent fees
and estimated offering expenses payable by us in connection with this offering. This estimate excludes the proceeds, if any, from the
exercise of the private placement warrants sold in the concurrent private placement. If all of the private placement warrants sold in
the concurrent private placement were exercised for cash, we would receive additional net proceeds of approximately $2.8 million, not
accounting for offering and issuance costs. We cannot predict when or if these private placement warrants will be exercised. It is possible
that these private placement warrants may never be exercised.
We
currently intend to use the net proceeds from this offering working capital and general corporate purposes. We do not currently have
more specific plans or commitments with respect to the net proceeds from this offering and, accordingly, are unable to quantify the allocation
of such proceeds among the various potential issues.
Investors
will be relying on the judgment of our management, who will have broad discretion regarding the application of the proceeds of this offering.
The amounts and timing of our actual expenditures will depend upon numerous factors, including the amount of cash generated by our operations,
the amount of competition and other operational factors. We may find it necessary or advisable to use portions of the proceeds from this
offering for other purposes.
From
time to time, we evaluate these and other factors and we anticipate continuing to make such evaluations to determine if the existing
allocation of resources, including the proceeds of this offering, is being optimized. Circumstances that may give rise to a change in
the use of proceeds include:
●
a change in development plan or strategy;
●
the addition of new products or applications;
●
technical delays;
●
delays or difficulties with our clinical trials;
●
manufacturing delays;
●
negative results from our clinical trials;
●
difficulty obtaining regulatory approvals;
●
failure to achieve sales as anticipated; and
●
the availability of other sources of cash including cash flow from operations and new bank debt financing arrangements, if any.
Pending
other uses, we intend to invest the proceeds to us in short-term, investment grade, interest-bearing bank accounts or securities. We
cannot predict whether the proceeds invested will yield a favorable, or any, return.
DILUTION
If
you invest in our securities, your interest will be diluted immediately to the extent of the difference between the effective price per
share you pay in this offering and the pro forma as adjusted net tangible book value per share of our common stock after this offering.
Our net tangible book value (deficit) as of March 31, 2024, was approximately $(4,413,000), or $(0.3953), per share of common stock.
Net tangible book value per share is determined by dividing our total tangible assets, less total liabilities, by the number of shares
of our common stock outstanding as of March 31, 2024.
After
giving effect to (i) the sale and issuance of shares and warrants in our May 2024 private placement and related note conversion and
(ii) an aggregate of 603,000 shares of common stock issued to certain service providers from April 2024 through May 2024 in consideration
of their business development services, subsequent to March 31, 2024 (collectively, the “Pro Forma Adjustments”), our pro
forma net tangible book value (deficit) as of March 31, 2024, would have been approximately $(3,268,836), or approximately $(0.2604),
per share of common stock.
After
giving further effect to the sale of the shares in this offering at the offering price of $1.91 per share, assuming no exercise of the
private placement warrants issued in the concurrent private placement, and after deducting placement agent fees and estimated offering
expenses payable by us, our pro forma as adjusted net tangible book value (deficit) as of March 31, 2024, would have been approximately
$(734,781.84), or approximately $(0.052) per share of common stock. This represents an immediate increase in pro forma as adjusted
net tangible book value of $0.2084, per share to our existing stockholders, and an immediate dilution of $1.962, per share to new investors
in this offering, as illustrated by the following table:
Offering price per share | |
| | | |
$ | 1.91 | |
Net tangible book value per share as of March 31, 2024 | |
$ | (0.3953 | ) | |
| | |
Decrease in net tangible book value per share attributable to the Pro Forma Adjustments | |
$ | 0.1348 | | |
| | |
Pro forma net tangible book value per share as of March 31, 2024 | |
$ | (0.2604 | ) | |
| | |
Increase in pro forma as adjusted net tangible book value per share attributable to this offering | |
$ | 0.2084 | | |
| | |
Pro forma as adjusted net tangible book value per share as of March 31, 2024 after giving effect to this offering | |
| | | |
$ | (0.052 | ) |
Dilution in net tangible book value per share to new investors in this offering | |
| | | |
$ | 1.962 | |
The
discussion and table above are based on 11,165,007 shares of common stock outstanding as of March 31, 2024, and excludes the following
potentially dilutive securities as of that date:
|
● |
2,878,734
shares of common stock issuable upon the exercise of warrants outstanding with an exercise price ranging from $3.364 to $61.60 per
share and having a weighted average exercise price of $7.21467 per share; |
|
● |
542,225
shares of common stock issuable upon the exercise of options outstanding with exercise prices ranging from $3.573 to $104.90 and
having a weighted average exercise price of $26.69 per share; |
|
● |
259,968
shares of common stock reserved for future issuance under our 2023 Plan; |
|
● |
105,000
shares of common stock issuable from time to time after this offering upon the settlement of restricted stock units outstanding;
and |
|
● |
376,170
shares of common stock issuable upon conversion of outstanding Series C Preferred Stock at the conversion price of $0.5302 per share
and the stated value per share of $1,000 (which includes the payment of dividends accrued on the Series C Preferred Stock in an aggregate
of 178,132 shares of common stock as of March 31, 2024 at a conversion rate of $0.5865). |
Except
as otherwise indicated, all information in this prospectus supplement assumes (i) no exercise, conversion, or settlement of the outstanding
options, preferred stock, restricted stock units or warrants described above and does not give effect to any subsequent repricing of
warrants; and (ii) no exercise of the private placement warrants issued in the concurrent private placement and the Placement Agent Warrants
to be issued to the Placement Agent or its designees as compensation in connection with this offering.
To
the extent that any of these outstanding options, warrants, preferred stock, or restricted stock units are exercised, converted or settled
at prices per share below the effective offering price per share of common stock in this offering or we issue additional shares under
our equity incentive plans at prices below the effective offering price per share of common stock in this offering, you may experience
further dilution. In addition, we may choose to raise additional capital due to market conditions or strategic considerations even if
we believe we have sufficient funds for our current or future operating plans. To the extent that we raise additional capital by issuing
equity or convertible debt securities, your ownership will be further diluted.
DESCRIPTION
OF SECURITIES WE ARE OFFERING
Common
Stock
The
material terms and provisions of our common stock are described under the heading “Description of Capital Stock” in the accompanying
prospectus.
PRIVATE
PLACEMENT TRANSACTION
Concurrently
with the sale of shares of common stock in this offering, we will issue and sell to the investors in this offering the private placement
warrants to purchase up to an aggregate of 1,570,683 shares of common stock at an exercise price equal to $1.78 per share.
The
private placement warrants and the shares of common stock issuable upon the exercise of such warrants have not been registered under
the Securities Act, are not being offered pursuant to this prospectus supplement and the accompanying prospectus, and are instead being
offered pursuant to an exemption provided in Section 4(a)(2) under the Securities Act and/or Rule 506(b) promulgated thereunder. Accordingly,
purchasers may only sell the private placement warrants and the shares of common stock issued upon exercise of the private placement
warrants pursuant to an effective registration statement under the Securities Act covering the resale of those shares, an exemption under
Rule 144 under the Securities Act or another applicable exemption under the Securities Act.
The
following sets forth the material terms of the private placement warrants:
Exercisability.
The private placement warrants are exercisable immediately upon issuance and will expire five years from the issuance date. The private
placement warrants will be exercisable, at the option of each holder, in whole or in part by delivering to us a duly executed exercise
notice and, at any time a registration statement registering the issuance of the shares of common stock underlying the private placement
warrants under the Securities Act is effective and available for the issuance of such shares, or an exemption from registration under
the Securities Act is available for the issuance of such shares, by payment in full in immediately available funds for the number of
shares of common stock purchased upon such exercise. If a registration statement registering the issuance of the shares of common stock
underlying the private placement warrants under the Securities Act is not effective or available, the holder may, in its sole discretion,
elect to exercise the private placement warrants through a cashless exercise, in which case the holder would receive upon such exercise
the net number of shares of common stock determined according to the formula set forth in the warrant.
Exercise
Limitation. A holder will not have the right to exercise any portion of the private placement warrants if the holder (together
with its affiliates) would beneficially own in excess of 4.99% (or, upon election of the holder, 9.99%) of the number of shares of our
common stock outstanding immediately after giving effect to the exercise, as such percentage ownership is determined in accordance with
the terms of the private placement warrants. However, any holder may increase or decrease such percentage, provided that any increase
will not be effective until the 61st day after such election.
Exercise
Price Adjustment. The exercise price of the private placement warrants is subject to appropriate adjustment in the event of certain
stock dividends and distributions, stock splits, stock combinations, reclassifications or similar events affecting our common stock and
also upon any distributions of assets, including cash, stock or other property to our stockholders.
Exchange
Listing. There is no established trading market for the private placement warrants and we do not expect a market to develop.
In addition, we do not intend to apply for the listing of the private placement warrants on any national securities exchange or other
trading market.
Fundamental
Transactions. If a fundamental transaction occurs, then the successor entity will succeed to, and be substituted for us, and
may exercise every right and power that we may exercise and will assume all of our obligations under the private placement warrants with
the same effect as if such successor entity had been named in the warrant itself. If holders of our common stock are given a choice as
to the securities, cash or property to be received in a fundamental transaction, then the holder shall be given the same choice as to
the consideration it receives upon any exercise of the private placement warrants following such fundamental transaction. Additionally,
as more fully described in the private placement warrants, in the event of certain fundamental transactions, the holders of those warrants
will be entitled to receive consideration in an amount equal to the Black Scholes value of the remaining unexercised portion of the warrants
on the date of consummation of such transaction.
Rights
as a Stockholder. Except as otherwise provided in the private placement warrants or by virtue of such holder’s ownership
of shares of our common stock, the holder of private placement warrants will not have the rights or privileges of a holder of our common
stock, including any voting rights, until the holder exercises the warrant.
Resale/Registration
Rights. We are required within 30 days of the offering to file a registration statement on Form S-3 (or other appropriate form
if the Company is not then S-3 eligible) providing for the resale of the shares of common stock issued and issuable upon the exercise
of the private placement warrants. We are required to use commercially reasonable efforts to cause such registration to become effective
within 60 days of the offering (or within 90 calendar days following the offering in case of “full review” of such registration
statement by the SEC) and to keep such registration statement effective at all times until no investor owns any warrants or shares issuable
upon exercise thereof.
PLAN
OF DISTRIBUTION
Pursuant
to an engagement agreement, dated May 29, 2024 (the “Engagement Agreement”), we have engaged the Placement Agent to act as
our exclusive placement agent, on a reasonable best-efforts basis, in connection with this offering. The terms of this offering are subject
to market conditions and negotiations between us, the Placement Agent, and prospective investors. The Engagement Agreement does not give
rise to any commitment by the Placement Agent to purchase any of the securities, and the Placement Agent will have no authority to bind
us by virtue of the Engagement Agreement. The Placement Agent is not purchasing the securities offered by us in this offering and is
not required to sell any specific number or dollar amount of securities. Further, the Placement Agent does not guarantee that it will
be able to raise new capital in any prospective offering. The Placement Agent has no commitment to buy any of the securities offered
pursuant to this prospectus supplement and accompanying prospectus.
We
have entered into a securities purchase agreement directly with the investors in connection with this offering, and we will only sell
to investors who have entered into the securities purchase agreement.
We
expect to deliver the shares of common stock being offered pursuant to this prospectus supplement and the accompanying prospectus on
or about May 30, 2024, subject to satisfaction of customary closing conditions.
Fees
and Expenses
We
have agreed to pay the Placement Agent a cash fee equal to 7.0% of the aggregate gross proceeds of this offering and a management fee
equal to one percent (1.0%) of the aggregate gross proceeds raised in this offering. We will also pay the Placement Agent $35,000 for
non-accountable expenses, $15,950 for clearing expenses, and a legal expense allowance of $50,000. We estimate the total offering expenses
of this offering payable by us, excluding the placement agent fees and expenses, will be approximately $466,000.
Placement
Agent Warrants
In
addition, we have agreed to issue to the Placement Agent or its designees as compensation in connection with this offering, Placement
Agent Warrants to purchase up to an aggregate of 109,948 shares of common stock (which represents 7.0% of the aggregate number of shares
of our common stock sold in this offering), at an exercise price of $2.3875 per share (representing 125% of the offering price per share
of common stock and accompanying Warrants sold in this offering). The Placement Agent Warrants will become exercisable immediately upon
issuance and will expire five years from the commencement of sales in this offering.
Except
as provided above, the Placement Agent Warrants will have substantially the same terms as the Warrants issued to the investors in this
offering. The summary of certain terms and provisions of the Placement Agent Warrants is not complete and is subject to, and qualified
in its entirety by, the provisions of the form of Placement Agent Warrant of which will be filed as an exhibit to our Current Report
on Form 8-K and which will be incorporated by reference herein.
Right
of First Refusal
We
have granted the Placement Agent, subject to certain exceptions, a right of first refusal for a period of twelve (12) months following
the consummation of this offering to act as our sole book-running manager, sole underwriter or sole placement agent for any further capital
raising transactions undertaken by us or any of our subsidiaries.
Tail
We
have also agreed to pay the Placement Agent a tail fee equal to the cash and warrant compensation in this offering, if any investor,
who was contacted or introduced to us by the Placement Agent during the term of its engagement, provides us with capital in any public
or private offering or other financing or capital raising transaction during the 12-month period following expiration or termination
of our engagement of the Placement Agent.
Lock-up
Agreement
Under
the terms of the securities purchase agreement, from the date of such agreements until sixty (60) days after the closing of this offering,
neither we nor any subsidiary shall (i) issue, enter into any agreement to issue or announce the issuance or proposed issuance of any
shares of common stock or common stock equivalents, or (ii) file any registration statement or prospectus, or any amendment or supplement
thereto, subject to certain exceptions.
We
have also agreed, subject to certain exceptions, until one (1) year after the closing of this offering, not to (i) issue or sell any
debt or equity securities that are convertible into, exchangeable or exercisable for, or include the right to receive, additional shares
of common stock either (A) at a conversion price, exercise price or exchange rate or other price that is based upon, and/or varies with,
the trading prices of or quotations for the shares of common stock at any time after the initial issuance of such debt or equity securities,
or (B) with a conversion, exercise or exchange price that is subject to being reset at some future date after the initial issuance of
such debt or equity security or upon the occurrence of specified or contingent events directly or indirectly related to our business
or the market for our common stock, or (ii) enter into, or effect a transaction under, any agreement, including, but not limited to,
an equity line of credit or an “at-the-market” facility, subject certain exceptions.
Regulation
M
The
Placement Agent may be deemed to be an underwriter within the meaning of Section 2(a)(11) of the Securities Act of 1933, as amended (the
“Securities Act”), and any commissions received by it and any profit realized on the resale of the securities sold by it
while acting as principal might be deemed to be underwriting discounts or commissions under the Securities Act. As an underwriter, the
Placement Agent would be required to comply with the requirements of the Securities Act and the Exchange Act of 1934, as amended (the
“Exchange Act”), including, without limitation, Rule 10b-5 and Regulation M under the Exchange Act. These rules and regulations
may limit the timing of purchases and sales of our securities by the Placement Agent acting as principal. Under these rules and regulations,
the Placement Agent (i) may not engage in any stabilization activity in connection with our securities and (ii) may not bid for or purchase
any of our securities or attempt to induce any person to purchase any of our securities, other than as permitted under the Exchange Act,
until it has completed its participation in the distribution.
Indemnification
We
have agreed to indemnify the Placement Agent against liabilities relating to the offering arising under the Securities Act and the Exchange
Act, liabilities arising from breaches of some or all of the representations and warranties contained in the Engagement Agreement, and
to contribute to payments that the Placement Agent may be required to make for these liabilities.
Other
Relationships
The
Placement Agent and its affiliates have engaged, and may in the future engage, in investment banking transactions and other commercial
dealings in the ordinary course of business with us or our affiliates. The Placement Agent has received, or may in the future receive,
customary fees and commissions for these transactions. The Placement Agent has acted as placement agent in connection with a registered
direct offering we completed in November 2023.
In
addition, in the ordinary course of their business activities, the Placement Agent and its affiliates may make or hold a broad array
of investments and actively trade debt and equity securities (or related derivative securities) for their own account and for the accounts
of their customers. Such investments and securities activities may involve securities and/or instruments of ours or our affiliates. The
Placement Agent and its affiliates may also make investment recommendations and/or publish or express independent research views in respect
of such securities or financial instruments and may hold, or recommend to clients that they acquire, long and/or short positions in such
securities and instruments.
Electronic
Distribution
A
prospectus in electronic format may be made available on a website maintained by the Placement Agent and the Placement Agent may distribute
prospectuses electronically. Other than the prospectus in electronic format, the information on these websites is not part of this prospectus
supplement or the registration statement of which this prospectus supplement forms a part, has not been approved and/or endorsed by us
or the Placement Agent and should not be relied upon by investors.
Nasdaq
Listing
Our
common stock is listed on Nasdaq under the symbol “BSGM.”
LEGAL
MATTERS
The
validity of the securities offered by this prospectus supplement and the accompanying prospectus will be passed upon for us by Sichenzia
Ross Ference Carmel, LLP, New York, New York. Haynes and Boone, LLP, New York, New York is acting as counsel to the Placement Agent in
connection with this offering.
EXPERTS
Our
financial statements as of December 31, 2023 and 2022 and for the years then ended incorporated in this prospectus supplement by reference
to the Annual Report on Form 10-K have been audited by Marcum LLP, an independent registered public accounting firm, as stated in its
report appearing in the registration statement, including the explanatory paragraph regarding our ability to continue as a going concern,
and are so incorporated in reliance upon the report of such firm given upon its authority as experts in accounting and auditing.
INCORPORATION
OF CERTAIN INFORMATION BY REFERENCE
The
SEC allows us to “incorporate by reference” the information we have filed with it, which means that we can disclose important
information to you by referring you to those documents. The information incorporated by reference is deemed to be part of this prospectus
supplement and the accompanying prospectus, and subsequent information that we file with the SEC will automatically update and supersede
that information. Any statement contained in a previously filed document incorporated by reference will be deemed to be modified or superseded
for purposes of this prospectus supplement and accompanying prospectus to the extent that a statement contained in this prospectus supplement
or the accompanying prospectus modifies or replaces that statement.
We
incorporate by reference our documents listed below and any future filings made by us with the SEC under Sections 13(a), 13(c), 14 or
15(d) of the Exchange Act in this prospectus supplement, between the date of this prospectus supplement and the termination of the offering
of the securities described in this prospectus supplement. We are not, however, incorporating by reference any documents or portions
thereof, whether specifically listed below or filed in the future, that are not deemed “filed” with the SEC, unless such
Form 8-K expressly provides to the contrary.
This
prospectus supplement and the accompanying prospectus incorporate by reference the documents set forth below that have previously been
filed with the SEC:
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our
Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the SEC on April 16, 2024; |
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our
Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, filed with the SEC on May 20, 2024; |
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our
Current Reports on Form 8-K filed with the SEC on January 8, 2024, January 12, 2024, January 31, 2024, February 1, 2024, February 2, 2024, February 21, 2024, February 28, 2024, March 11, 2024, March 12, 2024, May 2, 2024, May 3, 2024, May 7, 2024, May 7, 2024,
May 7, 2024, May 21, 2024; and May 28, 2024; and |
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the
description of the Company’s common stock and warrants contained in the Form 8-A filed with the SEC on September 17, 2018,
as amended by Exhibit 4.1 to our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, including any amendments
thereto or reports filed for the purposes of updating this description. |
All
reports and other documents we subsequently file pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act prior to the termination
of this offering, including, but excluding any information furnished to, rather than filed with, the SEC, will also be incorporated by
reference into this prospectus supplement and the accompanying prospectus and deemed to be part of this prospectus supplement and the
accompanying prospectus from the date of the filing of such reports and documents.
You
should rely only on the information incorporated by reference or provided in this prospectus. We have not authorized anyone else to provide
you with different information. You should not assume that the information in this prospectus supplement is accurate as of any date other
than the date of this prospectus supplement or the date of the documents incorporated by reference in this prospectus supplement.
You
may request a free copy of any of the documents incorporated by reference in this prospectus supplement and the accompanying prospectus
(other than exhibits, unless they are specifically incorporated by reference in the documents) by writing or telephoning us at the following
address:
BioSig
Technologies, Inc.
Attn:
Chief Executive Officer
55
Greens Farms Road, 1st Floor
Westport,
Connecticut 06880
(203)
409-5444
You
may also access the documents incorporated by reference in this prospectus supplement through our website at www.biosig.com. Except for
the specific incorporated documents listed above, no information available on or through our website shall be deemed to be incorporated
in this prospectus supplement and the accompanying prospectus or the registration statement of which it forms a part.
WHERE
YOU CAN FIND MORE INFORMATION
We
are subject to the informational requirements of the Exchange Act, and in accordance therewith file annual, quarterly and current reports,
proxy statements and other information with the SEC. The SEC maintains a website that contains reports, proxy and information statements
and other information regarding registrants that file electronically with the SEC. The address of the SEC’s website is www.sec.gov.
We
make available free of charge on or through our website at www.biosig.com, our Annual Reports on Form 10-K, Quarterly Reports on Form
10-Q, Current Reports on Form 8-K and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Exchange
Act, as soon as reasonably practicable after we electronically file such material with or otherwise furnish it to the SEC.
We
have filed with the SEC a registration statement under the Securities Act, relating to the offering of these securities. The registration
statement, including the attached exhibits, contains additional relevant information about us and the securities. This prospectus supplement
does not contain all of the information set forth in the registration statement. You can obtain a copy of the registration statement
for free at www.sec.gov. The registration statement and the documents referred to above under “Incorporation of Certain Information
By Reference” are also available on our website, www.biosig.com. We have not incorporated by reference into this prospectus supplement
the information on our website, and you should not consider it to be a part of this prospectus supplement.
Prospectus
$75,000,000
Common
Stock
Preferred
Stock
Warrants
Units
We
may offer and sell from time to time, in one or more series or issuances and on terms that we will determine at the time of the offering,
any combination of the securities described in this prospectus, up to an aggregate amount of $75,000,000.
We
will provide specific terms of any offering in a supplement to this prospectus. Any prospectus supplement may also add, update, or change
information contained in this prospectus. You should carefully read this prospectus and the applicable prospectus supplement as well
as the documents incorporated or deemed to be incorporated by reference in this prospectus before you purchase any of the securities
offered hereby.
These
securities may be offered and sold in the same offering or in separate offerings; to or through underwriters, dealers, and agents; or
directly to purchasers. The names of any underwriters, dealers, or agents involved in the sale of our securities, their compensation
and any over-allotment options held by them will be described in the applicable prospectus supplement. See “Plan of Distribution.”
Our
common stock is listed on The Nasdaq Capital Market under the symbol “BSGM.” On December 30, 2020, the last reported sale
price of our common stock was $4.13 per share as reported on The Nasdaq Capital Market. We recommend that you obtain current market quotations
for our common stock prior to making an investment decision. We will provide information in any applicable prospectus supplement regarding
any listing of securities other than shares of our common stock on any securities exchange.
You
should carefully read this prospectus, any prospectus supplement relating to any specific offering of securities, and all information
incorporated by reference herein and therein.
Investing
in our securities involves a high degree of risk. These risks are discussed in this prospectus under “Risk Factors” beginning
on page 6 and in the documents incorporated by reference in this prospectus.
Neither
the Securities and Exchange Commission (the “SEC”) nor any state securities commission has approved or disapproved of these
securities or passed upon the adequacy or accuracy of this prospectus. Any representation to the contrary is a criminal offense.
The
date of this prospectus is January 12, 2021
TABLE
OF CONTENTS
ABOUT
THIS PROSPECTUS
This
prospectus is part of a registration statement on Form S-3 that we filed with the SEC using a “shelf” registration process.
Under this shelf process, we may, from time to time, sell any combination of the securities described in this prospectus in one or more
offerings up to a total amount of $75,000,000.
This
prospectus provides you with a general description of the securities we may offer. Each time we sell securities, we will provide a prospectus
supplement that will contain specific information about the terms of that offering. The prospectus supplement may also add to, update
or change information contained in the prospectus and, accordingly, to the extent inconsistent, information in this prospectus is superseded
by the information in the prospectus supplement.
The
prospectus supplement to be attached to the front of this prospectus may describe, as applicable: the terms of the securities offered;
the public offering price; the price paid for the securities; net proceeds; and the other specific terms related to the offering of the
securities.
You
should only rely on the information contained or incorporated by reference in this prospectus and any prospectus supplement or issuer
free writing prospectus relating to a particular offering. No person has been authorized to give any information or make any representations
in connection with this offering other than those contained or incorporated by reference in this prospectus, any accompanying prospectus
supplement and any related issuer free writing prospectus in connection with the offering described herein and therein, and, if given
or made, such information or representations must not be relied upon as having been authorized by us. Neither this prospectus nor any
prospectus supplement nor any related issuer free writing prospectus shall constitute an offer to sell or a solicitation of an offer
to buy offered securities in any jurisdiction in which it is unlawful for such person to make such an offering or solicitation. This
prospectus does not contain all of the information included in the registration statement. For a more complete understanding of the offering
of the securities, you should refer to the registration statement, including its exhibits.
You
should read the entire prospectus and any prospectus supplement and any related issuer free writing prospectus, as well as the documents
incorporated by reference into this prospectus or any prospectus supplement or any related issuer free writing prospectus, before making
an investment decision. Neither the delivery of this prospectus or any prospectus supplement or any issuer free writing prospectus nor
any sale made hereunder shall under any circumstances imply that the information contained or incorporated by reference herein or in
any prospectus supplement or issuer free writing prospectus is correct as of any date subsequent to the date hereof or of such prospectus
supplement or issuer free writing prospectus, as applicable. You should assume that the information appearing in this prospectus, any
prospectus supplement or any document incorporated by reference is accurate only as of the date of the applicable documents, regardless
of the time of delivery of this prospectus or any sale of securities. Our business, financial condition, results of operations and prospects
may have changed since that date.
All
references in this prospectus to “BioSig,” the “Company,” “we,” “us,” “our,”
or similar terms refer to BioSig Technologies, Inc. and its subsidiaries taken as a whole, except where the context otherwise requires
or as otherwise indicated.
CAUTIONARY
STATEMENT REGARDING FORWARD LOOKING STATEMENTS
This
prospectus and the documents incorporated by reference herein contain forward-looking statements within the meaning of Section 27A of
the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Any statements
about our expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking.
These statements are often, but are not always, made through the use of words or phrases such as “anticipate,” “believe,”
“contemplate,” “continue,” “could,” “estimate,” “expect,” “intend,”
“may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,”
“target,” “will,” and “would,” or the negative of these terms, or similar expressions. Such forward-looking
statements are subject to certain risks, uncertainties and assumptions relating to factors that could cause actual results to differ
materially from those anticipated in such statements, including, without limitation, the following:
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our
history of recurring losses and negative cash flows from operating activities and the uncertainty regarding the adequacy of our liquidity
to pursue or complete our business objectives, and substantial doubt regarding our ability to continue as a going concern;
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the
results of ongoing and future clinical studies;
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our
inability to successfully develop or commercialize our product candidates;
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market
acceptance of existing and new products;
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our
inability to carry out research, development and commercialization plans;
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our
inability to complete preclinical testing and clinical trials as anticipated;
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changes
in our relationship with key collaborators;
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our
ability to adequately protect and enforce rights to intellectual property;
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our
need to raise additional capital to meet our business requirements in the future and the difficulties in obtaining financing on commercially
reasonable terms, or at all;
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intense
competition in our industry, with competitors having substantially greater financial, technological, research and development, regulatory
and clinical, manufacturing, marketing and sales, distribution and personnel resources than we do;
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entry
of new competitors and products and potential technological obsolescence of our products;
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effect
of healthcare legislation or reform measures that may substantially change the market for medical care or healthcare coverage in the
U.S.;
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our
failure to obtain regulatory approvals;
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adverse
market and economic conditions;
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our
ability to maintain the listing of our common stock on The Nasdaq Capital Market;
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our
business, results of operations and financial condition may be adversely impacted by public health epidemics, including the COVID-19
outbreak;
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loss
of one or more key executives;
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difficulties
in securing and retaining regulatory approval to market our product and product candidates; and
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depth
of the trading market in our common stock.
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You
should read this prospectus, the applicable prospectus supplement and any related free-writing prospectus and the documents incorporated
by reference in this prospectus with the understanding that our actual future results, levels of activity, performance and events and
circumstances may be materially different from what we expect. The forward-looking statements contained or incorporated by reference
in this prospectus or any prospectus supplement are expressly qualified in their entirety by this cautionary statement. We do not undertake
any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement
is made or to reflect the occurrence of unanticipated events.
PROSPECTUS
SUMMARY
This
summary provides an overview of selected information contained elsewhere or incorporated by reference in this prospectus and does not
contain all of the information you should consider before investing in our securities. You should carefully read the prospectus, the
information incorporated by reference and the registration statement of which this prospectus is a part in their entirety before investing
in our securities, including the information discussed under “Risk Factors” in this prospectus and the documents incorporated
by reference and our financial statements and notes thereto that are incorporated by reference in this prospectus. Some of the statements
in this prospectus and the documents incorporated by reference herein constitute forward-looking statements that involve risks and uncertainties.
See information set forth under the section “Cautionary Statement Regarding Forward-Looking Statements.”
Overview
BioSig
Technologies, Inc.
We
are a medical technology company commercializing a proprietary biomedical signal processing platform designed to improve signal fidelity
and uncover the full range of electrocardiogram (“ECG”) and intra-cardiac signals. Our initial emphasis is on providing intracardiac
signal information to electrophysiologists during electrophysiology (“EP”) studies and cardiac catheter ablation procedures.
Cardiac catheter ablation is a procedure that involves delivery of energy through the tip of a catheter that scars or destroys heart
tissue in order to correct heart rhythm disturbances. In August 2018, we received 510(k) clearance from the U.S. Food and Drug Administration
(the “FDA”) to market our PURE (Precise Uninterrupted Real-time evaluation of Electrograms) EP System.
PURE
EP™ is a proprietary signal acquisition and processing technology. Our device is a computerized system intended for acquiring,
digitizing, amplifying, filtering, measuring and calculating, displaying, recording, and storing of electrocardiographic and intracardiac
signals for patients undergoing EP procedures in an EP laboratory under the supervision of licensed healthcare practitioners who are
responsible for interpreting the data. The device aims to minimize noise and artifacts from cardiac recordings and acquire high-fidelity
cardiac signals. Improving fidelity of acquired cardiac signals may potentially increase the diagnostic value of these signals, thereby
possibly improving the accuracy and efficiency of the EP studies and related procedures.
Our
initial focus is on improving intracardiac signal acquisition and enhancing diagnostic information for catheter ablation procedures for
complex arrhythmias like ventricular tachycardia (“VT”), a potentially life-threatening arrhythmia, and atrial fibrillation
(“AF”), the most common cardiac arrhythmia associated with a fivefold risk of stroke.
On
February 18 and February 19, 2019, we conducted the first clinical cases with our PURE EP™ System. The observational patient cases
were performed by Andrea Natale, M.D., F.A.C.C., F.H.R.S., F.E.S.C., Executive Medical Director, Texas Cardiac Arrhythmia Institute at
St. David’s Medical Center in Austin, Texas. On April 16, 2019, we announced the completion of our second set of observational
patient cases, which were performed at Prisma Health at Greenville Health System in South Carolina by Andrew Brenyo, MD, FHRS. Dr. Brenyo
used the PURE EP™ System during procedures on patients with ischemic ventricular tachycardias, AF, PVC, and atypical flutters.
On
May 6, 2019, we announced the completion of our third set of observational patient cases at Indiana University under the leadership of
Prof. John M. Miller, M.D., and Dr. Mithilesh K. Das, MBBS. Drs. Miller and Das used the PURE EP™ System during procedures on patients
with atypical flutter, atrioventricular nodal reentry tachycardia (AVNRT), AF, supraventricular tachycardia, premature ventricular contractions,
and a rare case of dual septal pathway. In August 2019, observational patient cases at Santa Barbara Cottage Hospital in California were
performed by Brett Andrew Gidney, M.D. The initial experience across these early evaluation centers showed the PURE EP™ System
functions as designed with positive feedback from EP users about the improved signal detection and fidelity.
In
November 2019, we commenced our first clinical study for the PURE EP™ System titled, “Novel Cardiac Signal Processing System
for Electrophysiology Procedures (PURE EP 2.0 Study).” Texas Cardiac Arrhythmia Research Foundation (TCARF) in Austin, Texas, was
the first institution to conduct patient cases under the clinical study. On January 16, 2020, we announced the installation of a PURE
EP™ System at Mayo Clinic Florida campus in Jacksonville, Florida. Mayo Clinic was the second institution to conduct patient cases
under the same clinical study.
On
August 4, 2020, the Company announced the installation of a PURE EP™ System at Massachusetts General Hospital (MGH) as part of
the expanding clinical study. On September 23, 2020, we installed PURE EPTM System
at the University of Pennsylvania Hospital, and on October 29, 2020, we announced the installation of our PURE EP™ System at the
Deborah Heart and Lung Center in Browns Mills, New Jersey for clinical evaluation. As of December 30, 2020, 74 patients have been enrolled
in the study.
In
addition to clinical evaluation, we have conducted a total of twenty-seven pre-clinical studies with the PURE EPTM System,
twenty-two of which were performed at Mayo Clinic in Rochester, Minnesota. We also conducted a pre-clinical study at the Mount Sinai
Hospital in New York, New York, with an emphasis on the VT model; and four pre-clinical studies at the University of Pennsylvania. We
intend to continue additional research and development studies with our technology at Mayo Clinic and the University of Pennsylvania.
We also intend to continue additional clinical external evaluation at a select number of other centers.
We
have made progress towards obtaining a European CE marking certificate for medical devices. Leading up to a new Medical Device Regulation
that was due to enter into full force in 2020 but has since been put on hold for one year, the European Notified Bodies reported delays
in accepting and processing new applications throughout 2019. We intend to commence audit preparation for the International Organization
for Standardization (“ISO”) 13485 and Medical Device Single Audit Program certification with the expectation to proceed with
the audit to obtain the ISO 13485 Certification and CE Mark in the first half of 2021 and subsequently file for CE Mark in the second
half of 2021.
In
December 2020, we announced the sale of three PURE EP™ Systems to St. David’s Healthcare of Austin, Texas. Additionally,
we are in active discussions with numerous accounts about the acquisition of the PURE EPTM System.
We anticipate our initial customers will be medical centers of excellence and other health care facilities that operate EP labs.
Corporate
Information
We
were formed as BioSig Technologies, Inc., a Nevada corporation, in February 2009. In April 2011, we merged with our wholly-owned subsidiary,
BioSig Technologies Inc., a Delaware corporation, with the Delaware corporation continuing as the surviving entity. Our principal executive
offices are located at 54 Wilton Road, 2nd Floor, Westport, Connecticut 06880, and our telephone number is (203) 409-5444. Our website
address is www.biosig.com. Our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and all amendments
to those reports, are available to you free of charge through the “Investors” section of our web site as soon as reasonably
practicable after such materials have been electronically filed with, or furnished to, the SEC. Information contained on our website
does not form a part of this prospectus.
The
Securities We May Offer
We
may offer up to $75,000,000 of common stock, preferred stock, warrants and/or units in one or more offerings and in any combination.
This prospectus provides you with a general description of the securities we may offer. A prospectus supplement, which we will provide
each time we offer securities, will describe the specific amounts, prices and terms of these securities.
Common
Stock
We
may issue shares of our common stock from time to time. Holders of our common stock are entitled to receive ratably dividends as may
be declared by the board of directors out of funds legally available for that purpose. We have never paid cash dividends on our common
stock and do not anticipate paying any cash dividends in the foreseeable future but intend to retain our capital resources for reinvestment
in our business. Any future disposition of dividends will be at the discretion of our board of directors and will depend upon, among
other things, our future earnings, operating and financial condition, capital requirements, and other factors. Each share of common stock
entitles the holder to one vote, either in person or by proxy, at meetings of stockholders. The holders are not permitted to vote their
shares cumulatively. Accordingly, the stockholders of our common stock who hold, in the aggregate, more than fifty percent of the total
voting rights can elect all of our directors and, in such event, the holders of the remaining minority shares will not be able to elect
any of such directors. The vote of the holders of a majority of the issued and outstanding shares of common stock entitled to vote thereon
is sufficient to authorize, affirm, ratify or consent to such act or action, except as otherwise provided by law. Holders of our common
stock have no preemptive rights or other subscription rights, conversion rights, redemption or sinking fund provisions. Subject to the
rights of the holders of our preferred stock, upon our liquidation, dissolution or winding up, the holders of our common stock will be
entitled to share ratably in the net assets legally available for distribution to stockholders after the payment of all of our debts
and other liabilities. The rights, preferences and privileges of holders of our common stock are subject to, and may be adversely affected
by, the rights of the holders of any series of preferred stock, which may be designated solely by action of our board of directors and
issued in the future.
Preferred
Stock
We
may issue shares of our preferred stock from time to time, in one or more series. Our board of directors will determine the rights, preferences,
privileges and restrictions of the preferred stock, including dividend rights, conversion rights, voting rights, terms of redemption,
liquidation preferences, sinking fund terms and the number of shares constituting any series or the designation of such series, without
any further vote or action by stockholders. Convertible preferred stock will be convertible into our common stock or exchangeable for
our other securities. Conversion may be mandatory or at your option or both and would be at prescribed conversion rates.
If
we sell any series of preferred stock under this prospectus and applicable prospectus supplements, we will fix the rights, preferences,
privileges and restrictions of the preferred stock of such series in the certificate of designation relating to that series. We will
file as an exhibit to the registration statement of which this prospectus is a part, or will incorporate by reference from reports that
we file with the SEC, the form of any certificate of designation that describes the terms of the series of preferred stock we are offering
before the issuance of the related series of preferred stock. We urge you to read the applicable prospectus supplement related to the
series of preferred stock being offered, as well as the complete certificate of designation that contains the terms of the applicable
series of preferred stock.
Warrants
We
may issue warrants for the purchase of common stock or preferred stock in one or more series. We may issue warrants independently or
together with common stock or preferred stock, and the warrants may be attached to or separate from these securities. We will evidence
each series of warrants by warrant certificates that we will issue under a separate agreement. We may enter into warrant agreements with
a bank or trust company that we select to be our warrant agent. We will indicate the name and address of the warrant agent in the applicable
prospectus supplement relating to a particular series of warrants.
In
this prospectus, we have summarized certain general features of the warrants. We urge you, however, to read the applicable prospectus
supplement related to the particular series of warrants being offered, as well as the warrant agreements and warrant certificates that
contain the terms of the warrants. We will file as exhibits to the registration statement of which this prospectus is a part, or will
incorporate by reference from reports that we file with the SEC, the form of warrant agreement or warrant certificate containing the
terms of the warrants we are offering before the issuance of the warrants.
Units
We
may issue units consisting of common stock, preferred stock and/or warrants for the purchase of common stock or preferred stock in one
or more series. In this prospectus, we have summarized certain general features of the units. We urge you, however, to read the applicable
prospectus supplement related to the series of units being offered, as well as the unit agreements that contain the terms of the units.
We will file as exhibits to the registration statement of which this prospectus is a part, or will incorporate by reference reports that
we file with the SEC, the form of unit agreement and any supplemental agreements that describe the terms of the series of units we are
offering before the issuance of the related series of units.
RISK
FACTORS
An
investment in our securities involves a high degree of risk. Before deciding whether to invest in our securities, you should consider
carefully the specific factors discussed under the heading “Risk Factors” in the applicable prospectus supplement, together
with all of the other information contained or incorporated by reference in the prospectus supplement or appearing or incorporated by
reference in this prospectus. You should also consider the risks, uncertainties and assumptions discussed under Part II, Item 1A, “Risk
Factors,” in our most recent Annual Report on Form 10-K or any updates in our Quarterly Reports on Form 10-Q, which are incorporated
herein by reference, as updated or superseded by the risks and uncertainties described under similar headings in the other documents
that are filed after the date hereof and incorporated by reference into this prospectus and any prospectus supplement related to a particular
offering. The risks and uncertainties we have described are not the only ones we face. Additional risks and uncertainties not presently
known to us or that we currently deem immaterial may also affect our operations. Past financial performance may not be a reliable indicator
of future performance, and historical trends should not be used to anticipate results or trends in future periods. If any of these risks
actually occurs, our business, business prospects, financial condition or results of operations could be seriously harmed. This could
cause the trading price of our common stock to decline, resulting in a loss of all or part of your investment. Please also read carefully
the section above entitled “Cautionary Statement Regarding Forward-Looking Statements.”
USE
OF PROCEEDS
We
cannot assure you that we will receive any proceeds in connection with securities which may be offered pursuant to this prospectus. Unless
otherwise indicated in the applicable prospectus supplement, we intend to use any net proceeds from the sale of securities under this
prospectus for our operations and for other general corporate purposes, including, but not limited to, general working capital and possible
future acquisitions. We have not determined the amounts we plan to spend on any of the areas listed above or the timing of these expenditures.
As a result, our management will have broad discretion to allocate the net proceeds, if any, we receive in connection with securities
offered pursuant to this prospectus for any purpose. Pending application of the net proceeds as described above, we may initially invest
the net proceeds in investment-grade, interest-bearing securities such as money market funds, certificates of deposit, or direct or guaranteed
obligations of the U.S. government, hold as cash or apply them to the reduction of short-term indebtedness.
DESCRIPTION
OF CAPITAL STOCK
The
following description of common stock and preferred stock summarizes the material terms and provisions of the common stock and preferred
stock that we may offer under this prospectus, but is not complete. For the complete terms of our common stock and preferred stock, please
refer to our amended and restated certificate of incorporation, as amended, any certificates of designation for our preferred stock,
and our amended and restated bylaws, as amended. While the terms we have summarized below will apply generally to any future common stock
or preferred stock that we may offer, we will describe the specific terms of any series of preferred stock in more detail in the applicable
prospectus supplement. If we so indicate in a prospectus supplement, the terms of any preferred stock we offer under that prospectus
supplement may differ from the terms we describe below.
We
have authorized 201,000,000 shares of capital stock, par value $0.001 per share, of which 200,000,000 are shares of common stock and
1,000,000 are shares of “blank check” preferred stock, of which 200 are authorized as Series A Preferred Stock, 600 are authorized
as Series B Preferred Stock, 4,200 are authorized as Series C Preferred Stock, 1,400 are authorized as Series D Preferred Stock, 1,000
are authorized as Series E Preferred Stock and 200,000 are authorized as Series F Junior Participating Preferred Stock. As of December
30, 2020, there were 30,719,498 shares of common stock issued and outstanding, 105 shares of Series C Preferred Stock issued and outstanding
and no shares of our Series A Convertible Preferred Stock, Series B Convertible Preferred Stock, Series D Convertible Preferred Stock,
Series E Convertible Preferred Stock or Series F Junior Participating Preferred Stock issued and outstanding. The authorized and unissued
shares of common stock and the authorized and undesignated shares of preferred stock are available for issuance without further action
by our stockholders, unless such action is required by applicable law or the rules of any stock exchange on which our securities may
be listed. Unless approval of our stockholders is so required, our board of directors does not intend to seek stockholder approval for
the issuance and sale of our common stock or preferred stock.
Common
Stock
The
holders of common stock are entitled to one vote per share on all matters to be voted upon by stockholders. Holders of our common stock
are entitled to receive ratably dividends as may be declared by the board of directors out of funds legally available for that purpose.
We have never paid cash dividends on our common stock and do not anticipate paying any cash dividends in the foreseeable future but intend
to retain our capital resources for reinvestment in our business. Any future disposition of dividends will be at the discretion of our
board of directors and will depend upon, among other things, our future earnings, operating and financial condition, capital requirements,
and other factors.
Each
share of common stock entitles the holder to one vote, either in person or by proxy, at meetings of stockholders. The holders are not
permitted to vote their shares cumulatively. Accordingly, the stockholders of our common stock who hold, in the aggregate, more than
fifty percent of the total voting rights can elect all of our directors and, in such event, the holders of the remaining minority shares
will not be able to elect any of such directors. The vote of the holders of a majority of the issued and outstanding shares of common
stock entitled to vote thereon is sufficient to authorize, affirm, ratify or consent to such act or action, except as otherwise provided
by law.
Holders
of our common stock have no preemptive rights or other subscription rights, conversion rights, redemption or sinking fund provisions.
Subject to the rights of the holders of our preferred stock, upon our liquidation, dissolution or winding up, the holders of our common
stock will be entitled to share ratably in the net assets legally available for distribution to stockholders after the payment of all
of our debts and other liabilities.
The
transfer agent and registrar for our common stock is Action Stock Transfer Corporation. The transfer agent’s address is 2469 East
Fort Union Blvd., Suite 214, Salt Lake City, UT 84121. Our common stock is listed on the Nasdaq Capital Market under the symbol “BSGM.”
Preferred
Stock
The
board of directors is authorized, subject to any limitations prescribed by law, without further vote or action by the stockholders, to
issue from time to time shares of preferred stock in one or more series. Each such series of preferred stock shall have such number of
shares, designations, preferences, voting powers, qualifications, and special or relative rights or privileges as shall be determined
by the board of directors, which may include, among others, dividend rights, voting rights, liquidation preferences, conversion rights
and preemptive rights. Issuance of preferred stock by our board of directors may result in such shares having dividend and/or liquidation
preferences senior to the rights of the holders of our common stock and could dilute the voting rights of the holders of our common stock.
Prior
to the issuance of shares of each series of preferred stock, the board of directors is required by the Delaware General Corporation Law
(the “DGCL”) and our certificate of incorporation to adopt resolutions and file a certificate of designation with the Secretary
of State of the State of Delaware. The certificate of designation fixes for each class or series the designations, powers, preferences,
rights, qualifications, limitations and restrictions, including, but not limited to, some or all of the following:
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the
number of shares constituting that series and the distinctive designation of that series, which number may be increased or decreased
(but not below the number of shares then outstanding) from time to time by action of the board of directors;
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the
dividend rate and the manner and frequency of payment of dividends on the shares of that series, whether dividends will be cumulative,
and, if so, from which date;
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whether
that series will have voting rights, in addition to any voting rights provided by law, and, if so, the terms of such voting rights;
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whether
that series will have conversion privileges, and, if so, the terms and conditions of such conversion, including provision for adjustment
of the conversion rate in such events as the board of directors may determine;
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whether
or not the shares of that series will be redeemable, and, if so, the terms and conditions of such redemption;
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whether
that series will have a sinking fund for the redemption or purchase of shares of that series, and, if so, the terms and amount of
such sinking fund;
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whether
or not the shares of the series will have priority over or be on a parity with or be junior to the shares of any other series or class
in any respect;
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the
rights of the shares of that series in the event of voluntary or involuntary liquidation, dissolution or winding up of the corporation,
and the relative rights or priority, if any, of payment of shares of that series; and
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any
other relative rights, preferences and limitations of that series.
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Once
designated by our board of directors, each series of preferred stock may have specific financial and other terms that will be described
in a prospectus supplement. The description of the preferred stock that is set forth in any prospectus supplement is not complete without
reference to the documents that govern the preferred stock. These include our certificate of incorporation and any certificates of designation
that our board of directors may adopt.
All
shares of preferred stock offered hereby will, when issued, be fully paid and nonassessable, including shares of preferred stock issued
upon the exercise of preferred stock warrants or subscription rights, if any.
Although
our board of directors has no intention at the present time of doing so, it could authorize the issuance of a series of preferred stock
that could, depending on the terms of such series, impede the completion of a merger, tender offer or other takeover attempt.
Anti-Takeover
Effects of Certain Provisions of Delaware Law, our Certificate of Incorporation, Bylaws and Stockholder Rights Agreement
Delaware
Law
We
are subject to Section 203 of the DGCL. Section 203 generally prohibits a public Delaware corporation from engaging in a “business
combination” with an “interested stockholder” for a period of three years after the date of the transaction in which
the person became an interested stockholder, unless:
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prior
to the date of the transaction, the board of directors of the corporation approved either the business combination or the transaction
which resulted in the stockholder becoming an interested stockholder;
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the
interested stockholder owned at least 85% of the voting stock of the corporation outstanding at the time the transaction commenced,
excluding for purposes of determining the number of shares outstanding (i) shares owned by persons who are directors and also
officers and (ii) shares owned by employee stock plans in which employee participants do not have the right to determine confidentially
whether shares held subject to the plan will be tendered in a tender or exchange offer; or
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on
or subsequent to the date of the transaction, the business combination is approved by the board and authorized at an annual or special
meeting of stockholders, and not by written consent, by the affirmative vote of at least 66 2/3% of the outstanding voting stock which
is not owned by the interested stockholder.
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Section 203
defines a business combination to include:
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any
merger or consolidation involving the corporation and the interested stockholder;
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any
sale, transfer, pledge or other disposition involving the interested stockholder of 10% or more of the assets of the corporation;
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subject
to exceptions, any transaction that results in the issuance or transfer by the corporation of any stock of the corporation to the
interested stockholder; or
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the
receipt by the interested stockholder of the benefit of any loans, advances, guarantees, pledges or other financial benefits provided
by or through the corporation.
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In
general, Section 203 defines an “interested stockholder” as any entity or person beneficially owning 15% or more of
the outstanding voting stock of the corporation and any entity or person affiliated with, or controlling, or controlled by, the entity
or person. The term “owner” is broadly defined to include any person that, individually, with or through that person’s
affiliates or associates, among other things, beneficially owns the stock, or has the right to acquire the stock, whether or not the
right is immediately exercisable, under any agreement or understanding or upon the exercise of warrants or options or otherwise or has
the right to vote the stock under any agreement or understanding, or has an agreement or understanding with the beneficial owner of the
stock for the purpose of acquiring, holding, voting or disposing of the stock.
The
restrictions in Section 203 do not apply to corporations that have elected, in the manner provided in Section 203, not to be
subject to Section 203 of the DGCL or, with certain exceptions, which do not have a class of voting stock that is listed on a national
securities exchange or held of record by more than 2,000 stockholders. Our certificate of incorporation and bylaws do not opt out of
Section 203.
Section 203
could delay or prohibit mergers or other takeover or change in control attempts with respect to us and, accordingly, may discourage attempts
to acquire us even though such a transaction may offer our stockholders the opportunity to sell their stock at a price above the prevailing
market price.
Certificate
of Incorporation and Bylaws
Provisions
of our certificate of incorporation and bylaws may delay or discourage transactions involving an actual or potential change in our control
or change in our management, including transactions in which stockholders might otherwise receive a premium for their shares, or transactions
that our stockholders might otherwise deem to be in their best interests. Therefore, these provisions could adversely affect the price
of our common stock. Among other things, our certificate of incorporation and bylaws:
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permit
our board of directors to issue up to 1,000,000 shares of preferred stock, without further action by the stockholders, with any rights,
preferences and privileges as they may designate, including the right to approve an acquisition or other change in control;
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provide
that the authorized number of directors may be changed only by a resolution adopted by a majority of the total number of authorized
directors;
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do
not provide for cumulative voting rights (therefore allowing the holders of a majority of the shares of common stock entitled to vote
in any election of directors to elect all of the directors standing for election, if they should so choose); and
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provide
advance notice provisions with which a stockholder who wishes to nominate a director or propose other business to be considered at
a stockholder meeting must comply.
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Stockholder
Rights Agreement
On
July 14, 2020, we entered into a stockholder rights agreement with Action Stock Transfer Corporation, as rights agent (the “Rights
Agreement”), which entitles the holders of the rights to purchase from the Company 1/1,000th of a share of the Company’s
Series F Junior Participating Preferred Stock, $0.001 par value per share, at a purchase price of $50.00 per share, subject to certain
adjustments (a “Right”), upon certain trigger events. In connection therewith, on July 14, 2020, the board of directors authorized
200,000 shares of Series F Junior Participating Preferred Stock and it declared a dividend of one Right for each share of common stock
of the Company outstanding as of July 27, 2020. Each 1/1,000th of a share of Series F Junior Participating Preferred Stock will essentially
be the economic equivalent of one share of our common stock. However, until a Right is exercised or exchanged in accordance with the
provisions of the Rights Agreement, the holder thereof will have no rights as a stockholder of the Company, including, but not limited
to, the right to vote or to receive dividends.
The
Rights do not separate from the common stock unless one or both of the following conditions are met: a public announcement that a person
or group becomes the beneficial owner of 12% or more of the Company’s outstanding common stock (including in the form of synthetic
ownership through derivative positions) (such person, an “Acquiring Person”), or a tender or exchange offer is made which,
if completed, would result in the bidder becoming an Acquiring Person.
In
the event that any person or group of affiliated or associated persons becomes an Acquiring Person, each holder of a right, other than
rights beneficially owned by the Acquiring Person (which will become void), will have the right to purchase, at the right’s exercise
price, a number of shares of the Company’s common stock (or equivalent securities) having a market value of twice the right’s
exercise price. The rights may be redeemed by the Company for $0.001 per right at any time until the first public announcement of the
acquisition of beneficial ownership of 12% of the Company’s common stock.
The
Rights expire upon the earliest to occur of (i) the close of business on July 13, 2021; (ii) the time at which the Rights are redeemed
or exchanged pursuant to the Rights Agreement; and (iii) the time at which the Rights are terminated upon the closing of any merger or
other acquisition transaction involving the Company pursuant to a merger or other acquisition agreement that has been approved by the
Board prior to any person becoming an Acquiring Person.
The
Rights have certain anti-takeover effects. The Rights may cause substantial dilution to a person or group of affiliated or associated
persons that acquires beneficial ownership of 12% or more of the Company’s stock on terms not approved by the board of directors
or takes other specified actions. As a result, the overall effect of the Rights may be to render more difficult or discourage any attempt
to acquire us even if the acquisition may be favorable to the interests of our stockholders. Because the board of directors can redeem
or exchange the Rights, the Rights should not interfere with a merger or other business combination approved by the board. We can make
no assurances the rights plan will be effective in meeting its intended objectives, including to deter a change in control.
The
description of our Series F Junior Participating Preferred Stock, which is contained in the Registration Statement on Form 8-A (File
No. 001-38659) filed with the SEC on July 17, 2020, including any amendments or reports we file for purposes of updating that description,
is incorporated herein by reference.
DESCRIPTION
OF WARRANTS
As
of December 30, 2020, there were outstanding warrants to purchase 1,451,667 shares of common stock.
We
may issue warrants for the purchase of common stock or preferred stock in one or more series. We may issue warrants independently or
together with common stock or preferred stock, and the warrants may be attached to or separate from these securities.
We
will evidence each series of warrants by warrant certificates that we may issue under a separate agreement. We may enter into a warrant
agreement with a warrant agent. Each warrant agent may be a bank that we select which has its principal office in the United States.
We may also choose to act as our own warrant agent. We will indicate the name and address of any such warrant agent in the applicable
prospectus supplement relating to a particular series of warrants.
We
will describe in the applicable prospectus supplement the terms of the series of warrants, including:
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the
offering price and aggregate number of warrants offered;
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if
applicable, the designation and terms of the securities with which the warrants are issued and the number of warrants issued with
each such security or each principal amount of such security;
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if
applicable, the date on and after which the warrants and the related securities will be separately transferable;
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in
the case of warrants to purchase common stock or preferred stock, the number or amount of shares of common stock or preferred stock,
as the case may be, purchasable upon the exercise of one warrant and the price at which and currency in which these shares may be
purchased upon such exercise;
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the
manner of exercise of the warrants, including any cashless exercise rights;
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the
warrant agreement under which the warrants will be issued;
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the
effect of any merger, consolidation, sale or other disposition of our business on the warrant agreement and the warrants;
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anti-dilution
provisions of the warrants, if any;
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the
terms of any rights to redeem or call the warrants;
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any
provisions for changes to or adjustments in the exercise price or number of securities issuable upon exercise of the warrants;
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the
dates on which the right to exercise the warrants will commence and expire or, if the warrants are not continuously exercisable during
that period, the specific date or dates on which the warrants will be exercisable;
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the
manner in which the warrant agreement and warrants may be modified;
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the
identities of the warrant agent and any calculation or other agent for the warrants;
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federal
income tax consequences of holding or exercising the warrants;
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the
terms of the securities issuable upon exercise of the warrants;
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any
securities exchange or quotation system on which the warrants or any securities deliverable upon exercise of the warrants may be listed
or quoted; and
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any
other specific terms, preferences, rights or limitations of or restrictions on the warrants.
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Before
exercising their warrants, holders of warrants will not have any of the rights of holders of the securities purchasable upon such exercise,
including, in the case of warrants to purchase common stock or preferred stock, the right to receive dividends, if any, or, payments
upon our liquidation, dissolution or winding up or to exercise voting rights, if any.
Exercise
of Warrants
Each
warrant will entitle the holder to purchase the securities that we specify in the applicable prospectus supplement at the exercise price
that we describe in the applicable prospectus supplement. Unless we otherwise specify in the applicable prospectus supplement, holders
of the warrants may exercise the warrants at any time up to 5:00 P.M. eastern time, the close of business, on the expiration date that
we set forth in the applicable prospectus supplement. After the close of business on the expiration date, unexercised warrants will become
void.
Holders
of the warrants may exercise the warrants by delivering the warrant certificate representing the warrants to be exercised together with
specified information, and paying the required exercise price by the methods provided in the applicable prospectus supplement. We will
set forth on the reverse side of the warrant certificate, and in the applicable prospectus supplement, the information that the holder
of the warrant will be required to deliver to the warrant agent.
Upon
receipt of the required payment and the warrant certificate properly completed and duly executed at the corporate trust office of the
warrant agent or any other office indicated in the applicable prospectus supplement, we will issue and deliver the securities purchasable
upon such exercise. If fewer than all of the warrants represented by the warrant certificate are exercised, then we will issue a new
warrant certificate for the remaining amount of warrants.
Enforceability
of Rights by Holders of Warrants
Any
warrant agent will act solely as our agent under the applicable warrant agreement and will not assume any obligation or relationship
of agency or trust with any holder of any warrant. A single bank or trust company may act as warrant agent for more than one issue of
warrants. A warrant agent will have no duty or responsibility in case of any default by us under the applicable warrant agreement or
warrant, including any duty or responsibility to initiate any proceedings at law or otherwise, or to make any demand upon us. Any holder
of a warrant may, without the consent of the related warrant agent or the holder of any other warrant, enforce by appropriate legal action
the holder’s right to exercise, and receive the securities purchasable upon exercise of, its warrants in accordance with their
terms.
Warrant
Agreement Will Not Be Qualified Under Trust Indenture Act
No
warrant agreement will be qualified as an indenture, and no warrant agent will be required to qualify as a trustee, under the Trust Indenture
Act of 1939. Therefore, holders of warrants issued under a warrant agreement will not have the protection of the Trust Indenture Act
of 1939 with respect to their warrants.
Governing
Law
Unless
we provide otherwise in the applicable prospectus supplement, each warrant agreement and any warrants issued under the warrant agreements
will be governed by New York law.
DESCRIPTION
OF UNITS
We
may issue units comprised of one or more of the other securities described in this prospectus or any prospectus supplement in any combination.
Each unit will be issued so that the holder of the unit is also the holder, with the rights and obligations of a holder, of each security
included in the unit. The unit agreement under which a unit is issued may provide that the securities included in the unit may not be
held or transferred separately, at any time or at any times before a specified date or upon the occurrence of a specified event or occurrence.
The
applicable prospectus supplement will describe:
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the
designation and the terms of the units and of the securities comprising the units, including whether and under what circumstances
those securities may be held or transferred separately;
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any
unit agreement under which the units will be issued;
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any
provisions for the issuance, payment, settlement, transfer or exchange of the units or of the securities comprising the units; and
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whether
the units will be issued in fully registered or global form.
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PLAN
OF DISTRIBUTION
We
may sell the securities offered pursuant to this prospectus from time to time in one or more transactions, including, without limitation:
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to
or through underwriters;
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through
broker-dealers (acting as agent or principal);
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through
agents;
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directly
by us to one or more purchasers (including our affiliates and stockholders), through a specific bidding or auction process, a rights
offering or otherwise;
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through
a combination of any such methods of sale; or
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through
any other methods described in a prospectus supplement or free writing prospectus.
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The
distribution of securities may be effected, from time to time, in one or more transactions, including:
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block
transactions (which may involve crosses) and transactions on The Nasdaq Capital Market or any other organized market where the securities
may be traded;
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purchases
by a broker-dealer as principal and resale by the broker-dealer for its own account pursuant to a prospectus supplement or free writing
prospectus;
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ordinary
brokerage transactions and transactions in which a broker-dealer solicits purchasers;
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sales
“at the market” to or through a market maker or into an existing trading market, on an exchange or otherwise; and
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sales
in other ways not involving market makers or established trading markets, including direct sales to purchasers.
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The
applicable prospectus supplement or free writing prospectus will describe the terms of the offering of the securities, including:
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the
name or names of any underwriters, if, and if required, any dealers or agents;
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the
purchase price of the securities and the proceeds we will receive from the sale;
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any
underwriting discounts and other items constituting underwriters’ compensation;
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any
discounts or concessions allowed or re-allowed or paid to dealers; and
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any
securities exchange or market on which the securities may be listed or traded.
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We
may distribute the securities from time to time in one or more transactions at:
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a
fixed price or prices, which may be changed;
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market
prices prevailing at the time of sale;
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prices
related to such prevailing market prices; or
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negotiated
prices.
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Only
underwriters named in the prospectus supplement are underwriters of the securities offered by the prospectus supplement.
If
underwriters are used in an offering, we will execute an underwriting agreement with such underwriters and will specify the name of each
underwriter and the terms of the transaction (including any underwriting discounts and other terms constituting compensation of the underwriters
and any dealers) in a prospectus supplement. The securities may be offered to the public either through underwriting syndicates represented
by managing underwriters or directly by one or more investment banking firms or others, as designated. If an underwriting syndicate is
used, the managing underwriter(s) will be specified on the cover of the prospectus supplement. If underwriters are used in the sale,
the offered securities will be acquired by the underwriters for their own accounts and may be resold from time to time in one or more
transactions, including negotiated transactions, at a fixed public offering price or at varying prices determined at the time of sale.
Any public offering price and any discounts or concessions allowed or reallowed or paid to dealers may be changed from time to time.
Unless otherwise set forth in the prospectus supplement, the obligations of the underwriters to purchase the offered securities will
be subject to conditions precedent, and the underwriters will be obligated to purchase all of the offered securities, if any are purchased.
We
may grant to the underwriters options to purchase additional securities to cover over-allotments, if any, at the public offering price,
with additional underwriting commissions or discounts, as may be set forth in a related prospectus supplement. The terms of any over-allotment
option will be set forth in the prospectus supplement for those securities.
If
we use a dealer in the sale of the securities being offered pursuant to this prospectus or any prospectus supplement, we will sell the
securities to the dealer, as principal. The dealer may then resell the securities to the public at varying prices to be determined by
the dealer at the time of resale. The names of the dealers and the terms of the transaction will be specified in a prospectus supplement.
We
may sell the securities directly or through agents we designate from time to time. We will name any agent involved in the offering and
sale of securities and we will describe any commissions we will pay the agent in the prospectus supplement. Unless the prospectus supplement
states otherwise, any agent will act on a best-efforts basis for the period of its appointment.
We
may authorize agents or underwriters to solicit offers by institutional investors to purchase securities from us at the public offering
price set forth in the prospectus supplement pursuant to delayed delivery contracts providing for payment and delivery on a specified
date in the future. We will describe the conditions to these contracts and the commissions we must pay for solicitation of these contracts
in the prospectus supplement.
In
connection with the sale of the securities, underwriters, dealers or agents may receive compensation from us or from purchasers of the
securities for whom they act as agents, in the form of discounts, concessions or commissions. Underwriters may sell the securities to
or through dealers, and those dealers may receive compensation in the form of discounts, concessions or commissions from the underwriters
or commissions from the purchasers for whom they may act as agents. Underwriters, dealers and agents that participate in the distribution
of the securities, and any institutional investors or others that purchase securities directly for the purpose of resale or distribution,
may be deemed to be underwriters, and any discounts or commissions received by them from us and any profit on the resale of the common
stock by them may be deemed to be underwriting discounts and commissions under the Securities Act of 1933, as amended.
We
may provide agents, underwriters and other purchasers with indemnification against particular civil liabilities, including liabilities
under the Securities Act of 1933, as amended, or contribution with respect to payments that the agents, underwriters or other purchasers
may make with respect to such liabilities. Agents and underwriters may engage in transactions with, or perform services for, us in the
ordinary course of business.
To
facilitate the public offering of a series of securities, persons participating in the offering may engage in transactions that stabilize,
maintain, or otherwise affect the market price of the securities. This may include over-allotments or short sales of the securities,
which involves the sale by persons participating in the offering of more securities than have been sold to them by us. In addition, those
persons may stabilize or maintain the price of the securities by bidding for or purchasing securities in the open market or by imposing
penalty bids, whereby selling concessions allowed to underwriters or dealers participating in any such offering may be reclaimed if securities
sold by them are repurchased in connection with stabilization transactions. The effect of these transactions may be to stabilize or maintain
the market price of the securities at a level above that which might otherwise prevail in the open market. Such transactions, if commenced,
may be discontinued at any time. We make no representation or prediction as to the direction or magnitude of any effect that the transactions
described above, if implemented, may have on the price of our securities.
Unless
otherwise specified in the applicable prospectus supplement, any common stock sold pursuant to a prospectus supplement will be eligible
for listing on The Nasdaq Capital Market, subject to official notice of issuance. Any underwriters to whom securities are sold by us
for public offering and sale may make a market in the securities, but such underwriters will not be obligated to do so and may discontinue
any market making at any time without notice.
In
order to comply with the securities laws of some states, if applicable, the securities offered pursuant to this prospectus will be sold
in those states only through registered or licensed brokers or dealers. In addition, in some states securities may not be sold unless
they have been registered or qualified for sale in the applicable state or an exemption from the registration or qualification requirement
is available and complied with.
LEGAL
MATTERS
The
validity of the securities offered by this prospectus will be passed upon for us by Haynes and Boone, LLP, New York, New York.
EXPERTS
Our
consolidated financial statements as of December 31, 2019 and 2018 and for the years then ended incorporated in this prospectus by reference
to the Annual Report on Form 10-K have been audited by Liggett & Webb, P.A., an independent registered public accounting firm, as
stated in its report appearing in the registration statement, and are so incorporated in reliance upon the report of such firm given
upon its authority as experts in accounting and auditing.
WHERE
YOU CAN FIND MORE INFORMATION
We
are subject to the informational requirements of the Exchange Act, and in accordance therewith file annual, quarterly and current reports,
proxy statements and other information with the SEC. The SEC maintains an internet website at www.sec.gov that contains periodic and
current reports, proxy and information statements and other information regarding registrants that are filed electronically with the
SEC.
These
documents are also available, free of charge, through the Investors section of our website, which is located at www.biosig.com.
We
have filed with the SEC a registration statement under the Securities Act of 1933, as amended, relating to the offering of these securities.
The registration statement, including the attached exhibits, contains additional relevant information about us and the securities. This
prospectus does not contain all of the information set forth in the registration statement. You can obtain a copy of the registration
statement for free at www.sec.gov. The registration statement and the documents referred to below under “Incorporation of Documents
by Reference” are also available on our website, www.biosig.com.
We
have not incorporated by reference into this prospectus the information on our website, and you should not consider it to be a part of
this prospectus.
INCORPORATION
OF DOCUMENTS BY REFERENCE
The
SEC allows us to “incorporate by reference” the information we have filed with it, which means that we can disclose important
information to you by referring you to those documents. The information we incorporate by reference is an important part of this prospectus,
and later information that we file with the SEC will automatically update and supersede this information. We specifically are incorporating
by reference the following documents filed with the SEC (excluding those portions of any Current Report on Form 8-K that are furnished
and not deemed “filed” pursuant to the General Instructions of Form 8-K):
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our
Annual Report on Form 10-K for the year ended December 31, 2019, filed with the SEC on March
13, 2020;
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the
portions of our Definitive Proxy Statement on Schedule 14A filed with the SEC on April
29, 2020 that are deemed “filed” with the SEC;
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our
Quarterly Report on Form 10-Q for the quarter ended March 31, 2020, filed with the SEC on May
11, 2020, our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020, filed with the SEC on August
6, 2020, and as amended on August
28, 2020, and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2020, filed with the SEC on November
5, 2020;
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our
Current Reports on Form 8-K filed with the SEC on January
17, 2020, February
19, 2020, February
24, 2020, February
26, 2020, March
5, 2020, March
25, 2020, April
13, 2020, April
16, 2020, April
16, 2020, April
20, 2020, April
22, 2020, April
24, 2020, May
1, 2020, May
8, 2020, May
15, 2020, May
19, 2020, May
22, 2020, June
1, 2020, June
1, 2020, June
2, 2020, June
3, 2020, June
5, 2020, June
26, 2020, June
26, 2020, June
30, 2020, July
2, 2020, July
8, 2020, July
16, 2020, July
16, 2020, July
17, 2020, July
20, 2020, July
21, 2020, July
27, 2020, August
28, 2020, September
3, 2020, and November
3, 2020; and
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the
description of the Company’s common stock and warrants contained in the Form 8-A filed with the SEC on September
17, 2018, including any amendments thereto or reports filed for the purposes of updating this description.
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All
reports and definitive proxy or information statements subsequently filed after the date of this initial registration statement and prior
to effectiveness of this registration statement by the Company pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act, but
excluding information furnished to, rather than filed with, the SEC, shall be deemed to be incorporated by reference herein and to be
a part hereof from the date such documents are filed.
Any
statement contained herein or in any document incorporated or deemed to be incorporated by reference shall be deemed to be modified or
superseded for purposes of the registration statement of which this prospectus forms a part to the extent that a statement contained
in any other subsequently filed document which also is or is deemed to be incorporated by reference modifies or supersedes such statement.
Any such statement so modified or superseded shall not be deemed to constitute a part of the registration statement of which this prospectus
forms a part, except as so modified or superseded.
You
should rely only on the information incorporated by reference or provided in this prospectus. We have not authorized anyone else to provide
you with different information. You should not assume that the information in this prospectus is accurate as of any date other than the
date of this prospectus or the date of the documents incorporated by reference in this prospectus.
We
will provide without charge to each person to whom a copy of this prospectus is delivered, upon written or oral request, a copy of any
or all of the information that has been incorporated by reference in this prospectus but not delivered with this prospectus (other than
an exhibit to these filings, unless we have specifically incorporated that exhibit by reference in this prospectus). Any such request
should be addressed to us at:
BioSig
Technologies, Inc.
Attn:
Chief Executive Officer
54
Wilton Road, 2nd Floor
Westport,
Connecticut 06880
(203)
409-5444
You
may also access the documents incorporated by reference in this prospectus through our website at www.biosig.com. Except for the specific
incorporated documents listed above, no information available on or through our website shall be deemed to be incorporated in this prospectus
or the registration statement of which it forms a part.
1,570,683
Shares of Common Stock
PROSPECTUS
SUPPLEMENT
H.C.
Wainwright & Co.
May
29, 2024
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