As
filed with the Securities and Exchange Commission on July 15, 2024
Registration
No. 333-
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
S-3
REGISTRATION
STATEMENT
UNDER
THE
SECURITIES ACT OF 1933
| CINGULATE,
INC. |
| (Exact
name of registrant as specified in its charter) |
| Delaware |
|
86-3825535 |
(State
or other jurisdiction of
incorporation
or organization) |
|
(I.R.S.
Employer
Identification
Number) |
1901
W. 47th Place
Kansas
City, KS 66205
(913)
942-2300
(Address,
including zip code, and telephone number,
including
area code, of registrant’s principal executive offices)
Shane
J. Schaffer
Chief
Executive Officer
Cingulate
Inc.
1901
W. 47th Place
Kansas
City, KS 66205
(913)
942-2300
(Name,
address, including zip code, and telephone number,
including
area code, of agent for service)
Copies
to:
Michael
J. Lerner, Esq.
Steven
M. Skolnick, Esq.
Lowenstein
Sandler LLP
1251
Avenue of the Americas
New
York, New York 10020
(212)
262-6700
Approximate
date of commencement of proposed sale to the public: From time to time after this Registration Statement becomes effective, as determined
by the selling stockholders.
If
the only securities being registered on this Form are being offered pursuant to dividend or interest reinvestment plans, please check
the following box: ☐
If
any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the
Securities Act of 1933, other than securities offered only in connection with dividend or interest reinvestment plans, check the following
box: ☒
If
this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, please check the
following box and list the Securities Act registration statement number of the earlier effective registration statement for the same
offering. ☐
If
this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the
Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐
If
this Form is a registration statement pursuant to General Instruction I.D. or a post-effective amendment thereto that shall become effective
upon filing with the Commission pursuant to Rule 462(e) under the Securities Act, check the following box. ☐
If
this Form is a post-effective amendment to a registration statement filed pursuant to General Instruction I.D. filed to register additional
securities or additional classes of securities pursuant to Rule 413(b) under the Securities Act, check the following box. ☐
Indicate
by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company,
or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller
reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
| Large
accelerated filer |
☐ |
Accelerated
filer |
☐ |
| Non-accelerated
filer |
☒ |
Smaller
reporting company |
☒ |
| |
|
Emerging
growth company |
☒ |
If
an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
The
Registrant hereby amends this Registration Statement on such date or dates as may be necessary to delay its effective date until the
registrant shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective
in accordance with Section 8(a) of the Securities Act of 1933, as amended, or until the Registration Statement shall become effective
on such date as the Commission, acting pursuant to said Section 8(a), may determine.
The
information in this preliminary prospectus is not complete and may be changed. The Selling Stockholders may not resell these securities
until the registration statement filed with the Securities and Exchange Commission is effective. This preliminary prospectus is not an
offer to sell these securities, nor is it a solicitation of offers to buy these securities, in any state where the offer or sale is not
permitted.
| PRELIMINARY
PROSPECTUS |
SUBJECT
TO COMPLETION |
DATED
JULY 15, 2024 |
6,630,000
Shares of Common Stock
Issuable
Upon Exercise of Outstanding Warrants
This
prospectus relates to the resale of up to 6,630,000 shares of Cingulate, Inc. (the “Company,” “we,” “our”
or “us”) common stock, par value $0.0001 per share (the “Common Stock”), by the Selling Stockholders listed in
this prospectus or their permitted transferees (the “Selling Stockholders”). The shares of Common Stock registered for resale
pursuant to this prospectus consist of (i) 4,250,000 shares of Common Stock (the “Series C Warrant Shares”) issuable upon
the exercise of series C warrants (the “Series C Warrants”), (ii) 2,125,000 shares of Common Stock (the “Series D Warrant
Shares”) issuable upon the exercise of series D warrants (the “Series D Warrants), and (iii) 255,000 shares of Common Stock
(the “Placement Agent Warrant Shares” and together with the Series C Warrant Shares and Series D Warrant Shares, the “Warrant
Shares”) issuable upon the exercise of certain warrants issued to our placement agent (the “Placement Agent Warrants”
and together with the Series C Warrants and Series D Warrants, the “Warrants”). The Warrants were issued to the Selling Stockholders
in a private placement offering (the “Private Placement”) which closed on July 1, 2024.
For
additional information about the Private Placement, see “Private Placement.”
The
Series C Warrants and the Series D Warrants have an exercise price of $0.585 per share. The Series C Warrants will be exercisable on
or after the effective date of stockholder approval of the issuance of the shares upon exercise of the warrants (the “Stockholder
Approval Date”) until the five (5) year anniversary of the Stockholder Approval Date. The Series D Warrants will be exercisable
on or after the Stockholder Approval Date until the two (2) year anniversary of the Stockholder Approval Date. The Placement Agent Warrants
have substantially the same terms as the Series C Warrants, except that the Placement Agent Warrants have an exercise price of $0.7313.
The
Selling Stockholders may, from time to time, sell, transfer or otherwise dispose of any or all of their shares of Common Stock or interests
in their shares of Common Stock on any stock exchange, market or trading facility on which the shares of Common Stock are traded or in
private transactions. These dispositions may be at fixed prices, at prevailing market prices at the time of sale, at prices related to
the prevailing market price, at varying prices determined at the time of sale, or at negotiated prices. See “Plan of Distribution”
in this prospectus for more information. We will not receive any proceeds from the resale or other disposition of the shares of Common
Stock by the Selling Stockholders. However, we will receive the proceeds of any cash exercise of the Warrants. See “Use of Proceeds”
beginning on page 9 and “Plan of Distribution” beginning on page 10 of this prospectus for more information.
Our
Common Stock and certain of our outstanding warrants (the “Public Warrants”) are listed on the Nasdaq Capital Market (“Nasdaq”)
under the symbols “CING” and “CINGW,” respectively. On July 12, 2024, the last reported sale price of
our Common Stock and Public Warrants as reported on Nasdaq was $0.43 and $0.0099, respectively.
You
should read this prospectus, together with additional information described under the headings “Incorporation of Certain Information
by Reference” and “Where You Can Find More Information,” carefully before you invest in any of our securities.
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 and uncertainties described in the section captioned “Risk Factors” contained in our Annual Report
on Form 10-K for the fiscal year ended December 31, 2023, filed with the Securities and Exchange Commission, or the SEC, on April 1,
2024 and our other filings we make with the Securities and Exchange Commission from time to time, which are incorporated by reference
herein in their entirety, together with other information in this prospectus and the information incorporated by reference herein.
Neither
the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or determined
if this prospectus is truthful or complete. Any representation to the contrary is a criminal offense.
The
date of this prospectus is , 2024
TABLE
OF CONTENTS
PROSPECTUS
SUMMARY
This
summary highlights information contained elsewhere in this prospectus and the documents incorporated by reference herein. This summary
does not contain all of the information that you should consider before deciding to invest in our securities. You should read this entire
prospectus carefully, including the section entitled “Risk Factors” beginning on page 4, our consolidated financial statements
and the related notes and the other information incorporated by reference into this prospectus before making an investment decision.
Overview
We
are a biopharmaceutical company using our proprietary Precision Timed ReleaseTM (“PTRTM”) drug delivery
platform technology to build and advance a pipeline of next-generation pharmaceutical products designed to improve the lives of patients
suffering from frequently diagnosed conditions characterized by burdensome daily dosing regimens and suboptimal treatment outcomes. With
an initial focus on the treatment of Attention Deficit/Hyperactivity Disorder (“ADHD”) and anxiety, we are identifying and
evaluating additional therapeutic areas where our PTR technology may be employed to develop future product candidates. Our PTR platform
incorporates a proprietary Erosion Barrier Layer (“EBL”) designed to allow for the release of drug substance at specific,
pre-defined time intervals, unlocking the potential for once-daily, multi-dose tablets.
We
are targeting the ADHD treatment market, with an estimated US market size of over $23 billion as of November 2023, of which $18.6 billion
is attributable to stimulants. Stimulants are the most commonly prescribed class of medications for ADHD and account for approximately
88% of all ADHD medication prescriptions in the United States. By contrast, non-stimulant medications are typically employed only in
the second-line or adjunctive therapy setting and accounting for approximately 12% of all ADHD medication prescriptions. Extended-release,
or long-acting, dosage forms of stimulant medications are most frequently deployed as the first-line treatment for ADHD and constitute
approximately $16 billion of the overall ADHD market spend and accounting for 54% of all stimulant prescriptions. Most of these extended-release
dosage forms are approved for once-daily dosing in the morning and were designed to eliminate the need for re-dosing during the day.
However, with the current ‘once-daily’ extended-release dosage forms, most patients still receive a second or “booster”
dose for administration later in the day (typically in the early afternoon) to achieve active-day coverage and suffer from a multitude
of unwanted side effects as a result. We believe there is a significant, unmet need within the current treatment paradigm for true once-daily
ADHD stimulant medications with a duration that provides entire active-day coverage combined with an improved side effect profile to
better serve the numerous unmet needs of patients.
Our
two proprietary, first-line stimulant medications: CTx-1301 (dexmethylphenidate) and CTx-1302 (dextroamphetamine), are being developed
for the treatment of ADHD across all three patient segments: children (ages 6 -12), adolescents (ages 13-17), and adults (ages 18+).
Both CTx-1301 and CTx-1302 are designed to address the key shortcomings of currently approved stimulant therapies by: providing an immediate
onset of action (within 30 minutes); offering entire ‘active-day’ duration; eliminating the need for ‘booster/recovery’
doses of additional stimulant medications; minimizing or eliminating the rebound/crash symptoms associated with early medication ‘wear-off;’
and providing favorable tolerability with a controlled descent of drug blood levels. Furthermore, by eliminating the ‘booster’
dose used by up to 60% of ADHD patients in conjunction with their primary medication, we believe our product candidates will provide
important societal and economic benefits: reducing the abuse and diversion associated with short-acting stimulant medications; allowing
physicians to prescribe one medication versus two; allowing patients to pay for one medication versus two; and allowing payers to reimburse
one medication versus two.
Our
Organizational Structure
Cingulate
Inc. is a Delaware corporation that was formed to serve as a holding company. In connection with our initial public offering, we effected
certain organizational transactions. On September 29, 2021, Cingulate acquired Cingulate Therapeutics LLC, or CTx, through the merger
of a wholly-owned acquisition subsidiary of Cingulate with and into CTx (the “Reorganization Merger”). As a result of the
Reorganization Merger, CTx became a wholly-owned subsidiary of Cingulate. Unless otherwise stated or the context otherwise requires,
all information in this prospectus reflects the consummation of the Reorganization Merger.
Corporate
Information
Our
primary executive offices are located at 1901 West 47th Place, Kansas City, Kansas 66205 and our telephone number is (913)
942-2300. Our website address is www.cingulate.com. The information contained on, or that can be accessed through, our website
is not part of this prospectus and should not be considered as part of this prospectus or in deciding whether to purchase our securities.
Cingulate,
PTR, Cingulate Therapeutics, Enfoqis, Enfoqus, Trodesca, Ivoqus, Taylerza, Tymprezi, Accomplish, Mastery and our logo are some of our
trademarks used in this prospectus. This prospectus also includes trademarks, tradenames and service marks that are the property of other
organizations. Solely for convenience, our trademarks and tradenames referred to in this prospectus may appear without the ® and
™ symbols, but those 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 and tradenames.
Implications
of Being an Emerging Growth Company
As
a company with less than $1.235 billion in revenue during our most recently completed fiscal year, we qualify as an “emerging growth
company” as defined in the Jumpstart Our Business Startups Act of 2012, or the JOBS Act. An emerging growth company may take advantage
of relief from certain reporting requirements and other burdens that are otherwise applicable generally to public companies. These provisions
include:
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reduced
obligations with respect to financial data, including presenting only two years of audited financial statements and only two years
of selected financial data in this prospectus; |
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an
exception from compliance with the auditor attestation requirement of Section 404 of the Sarbanes-Oxley Act of 2002, as amended,
or the Sarbanes-Oxley Act; |
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reduced
disclosure about our executive compensation arrangements in our periodic reports, proxy statements and registration statements; and |
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exemptions
from the requirements of holding non-binding advisory votes on executive compensation or golden parachute arrangements. |
We
may take advantage of exemptions for up to five years or such earlier time that we are no longer an emerging growth company. Accordingly,
the information contained herein may be different than the information you receive from other public companies in which you hold stock.
We would cease to be an emerging growth company upon the earliest to occur of: (1) the last day of the fiscal year in which we have more
than $1.235 billion in annual gross revenue, (2) December 31, 2026, (3) the date we are deemed to be a “large accelerated filer”
as defined in the Securities Exchange Act of 1934, as amended, or the Exchange Act, and (4) the date on which we have during the previous
three-year period issued more than $1.0 billion in non-convertible debt securities.
The
JOBS Act also permits us, as an emerging growth company, to take advantage of an extended transition period to comply with the new or
revised accounting standards applicable to public companies and thereby allow us to delay the adoption of those standards until those
standards would apply to private companies. We have irrevocably elected to avail ourselves of this exemption and therefore, we will not
be subject to the same new or revised accounting standards as other public companies that are not emerging growth companies.
THE
OFFERING
| Shares
of Common Stock offered by the Selling Stockholders |
|
Up
to 6,630,000 shares of Common Stock issuable upon exercise of the Warrants. |
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| Use
of Proceeds |
|
We
will not receive any proceeds from the shares of Common Stock offered by the Selling Stockholders pursuant to this prospectus. However,
we will receive the proceeds of any cash exercise of the Warrants. We intend to use the net proceeds from any cash exercise of the
Warrants for working capital and general corporate purposes. Please see the section entitled see “Use of Proceeds”
on page 9 of this prospectus for a more detailed discussion. |
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| National
Securities Exchange Listing |
|
Our
Common Stock and our Public Warrants are currently listed on Nasdaq under the symbols “CING” and “CINGW,”
respectively. |
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| Risk
Factors |
|
An
investment in our securities involves a high degree of risk. Please see the section entitled “Risk Factors” beginning
on page 4 of this prospectus. In addition before deciding whether to invest in our securities, you should consider carefully the
risks and uncertainties described in the section captioned “Risk Factors” contained in our Annual Report on Form
10-K for the fiscal year ended December 31, 2023 filed with the SEC on April 1, 2024, and other filings we make with the SEC from
time to time, which are incorporated by reference herein in their entirety, together with other information in this prospectus and
the information incorporated by reference herein. |
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 and uncertainties described in the section captioned “Risk Factors” contained in our Annual Report
on Form 10-K for the fiscal year ended December 31, 2023 filed with the SEC on April 1, 2024, and our other filings we make with the
SEC from time to time, which are incorporated by reference herein in their entirety, together with other information in this prospectus
and the information incorporated by reference herein. If any of these risks actually occurs, our business, financial condition, results
of operations or cash flow could suffer materially. In such an event, the trading price of our shares of Common Stock could decline,
and you might lose all or part of your investment.
CAUTIONARY
NOTE REGARDING FORWARD-LOOKING STATEMENTS
Except
for historical information, this prospectus and the documents incorporated herein by reference contain forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as amended, (the “Securities Act”) and the Exchange Act. Forward-looking
statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates,
intentions and future performance, and involve known and unknown risks, uncertainties and other factors, which may be beyond our control,
and which may cause our actual results, performance or achievements to be materially different from future results, performance or achievements
expressed or implied by such forward-looking statements. All statements other than statements of historical fact are statements that
could be forward-looking statements. You can identify these forward-looking statements through our use of words such as “may,”
“can,” “anticipate,” “assume,” “should,” “indicate,” “would,”
“believe,” “contemplate,” “expect,” “seek,” “estimate,” “continue,”
“plan,” “point to,” “project,” “predict,” “could,” “intend,”
“target,” “potential” and other similar words and expressions of the future.
There
are a number of important factors that could cause the actual results to differ materially from those expressed in any forward-looking
statement made by us. These factors include, but are not limited to:
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our
ability to regain and maintain compliance with the continued listing requirements of Nasdaq; |
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our
lack of operating history and need for additional capital; |
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our
plans to develop and commercialize our product candidates; |
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the
timing of our planned clinical trials for CTx-1301, CTx-1302, and CTx-2103; |
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the
timing of our New Drug Application submissions for CTx-1301, CTx-1302, and CTx-2103; |
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the
timing of and our ability to obtain and maintain regulatory approvals for CTx-1301, CTx-1302, CTx-2103, or any other future product
candidate; |
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the
clinical utility of our product candidates; |
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our
commercialization, marketing and manufacturing capabilities and strategy; |
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our
ability to identify strategic partnerships; |
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our
expected use of cash; |
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our
competitive position and projections relating to our competitors or our industry; |
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our
ability to identify, recruit, and retain key personnel; |
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the
impact of laws and regulations; |
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our
expectations regarding the time during which we will be an emerging growth company under the JOBS Act; |
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our
plans to identify additional product candidates with significant commercial potential that are consistent with our commercial objectives; |
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the
identified material weaknesses in our internal control over financial reporting; and |
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our
estimates regarding future revenue and expenses. |
Because
forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified and some
of which are beyond our control, you should not rely on these forward-looking statements as predictions of future events. The events
and circumstances reflected in our forward-looking statements may not be achieved or occur and actual results could differ materially
from those projected in the forward-looking statements. You should refer to the “Risk Factors” section of this prospectus
and the documents we incorporate by reference for a discussion of important factors that may cause our actual results to differ materially
from those expressed or implied by our forward-looking statements. Moreover, we operate in an evolving environment. New risk factors
and uncertainties may emerge from time to time, and it is not possible for management to predict all risk factors and uncertainties.
As a result of these factors, we cannot assure you that the forward-looking statements in this prospectus and the documents we incorporate
by reference will prove to be accurate. Except as required by applicable law, we do not plan to publicly update or revise any forward-looking
statements contained herein, whether as a result of any new information, future events, changed circumstances or otherwise. You should,
however, review the factors and risks and other information we describe in the reports we will file from time to time with the SEC after
the date of this prospectus.
You
should read this prospectus and the documents that we incorporate by reference in this prospectus and have filed as exhibits to the registration
statement of which this prospectus is a part completely and with the understanding that our actual future results may be materially different
from what we expect. We qualify all of our forward-looking statements by these cautionary statements.
PRIVATE
PLACEMENT
On
June 28, 2024, we entered into an inducement offer letter agreement (the “Inducement Letter”) with certain holders (the “Holders”)
of certain of our existing warrants to purchase up to an aggregate of 3,187,500 shares of our Common Stock issued to the Holders on February
6, 2024 (the “Existing Warrants”). The Existing Warrants had an exercise price of $2.00 per share.
Pursuant
to the Inducement Letter, the Holders agreed to exercise for cash their Existing Warrants at a reduced exercise price of $0.585 per share
in consideration for our agreement to issue in a private placement (i) the Series C Warrants to purchase an aggregate of 4,250,000 shares
of Common Stock and (ii) the Series D Warrants to purchase an aggregate of 2,125,000 shares of Common Stock.
The
Series C Warrants and Series D Warrants were issued on July 1, 2024 (the “Closing Date”). We received aggregate gross proceeds
of approximately $1.86 million from the exercise of the Existing Warrants by the Holders, before deducting placement agent fees and other
offering expenses payable by us.
Pursuant
to the Inducement Letter, we agreed to file a registration statement on Form S-3 providing for the resale of the Series C Warrant Shares
and Series D Warrant Shares as soon as practicable after the Closing Date (and in any event within 30 calendar days of the date of the
Inducement Letter), and to use commercially reasonable efforts to cause such registration statement to be declared effective by the SEC
within 60 days following the date of the Inducement Letter (or within 90 calendar days in case of “full review” by the SEC)
and to keep such registration statement effective at all times until the Holders no longer own any Series C Warrants or Series D Warrants
or the shares issuable upon exercise thereof. We have filed the registration statement of which this prospectus forms a part pursuant
to the Inducement Letter.
We
engaged H.C. Wainwright & Co., LLC (the “Placement Agent”) to act as our exclusive placement agent in connection with
the transactions summarized above and paid the Placement Agent a cash fee equal to 8.0% of the aggregate gross proceeds received from
the Holders’ exercise of their Existing Warrants pursuant to that certain engagement letter, by and between the Placement Agent
and us, dated as of December 27, 2023 (as amended, the “Engagement Letter”). Pursuant to the Engagement Letter, we reimbursed
the Placement Agent for its expenses in connection with the exercise of the Existing Warrants and the issuance of the Series C Warrants
and Series D Warrants of: (i) $50,000 for fees and expenses of its counsel, (ii) $35,000 for its non-accountable expenses and (iii) and
$15,950 for its clearing costs. We also issued to the Placement Agent or its designees the Placement Agent Warrants to purchase up to
255,000 shares of Common Stock. The Placement Agent Warrants have substantially the same terms as the Series C Warrants, except that
the Placement Agent Warrants have an exercise price equal to $0.7313.
SELLING
STOCKHOLDERS
This
prospectus covers the resale or other disposition by the Selling Stockholders identified in the table below of up to an aggregate 6,630,000
shares of our Common Stock issuable upon the exercise of the Warrants. The Selling Stockholders acquired their securities in the transactions
described above under the heading “Private Placement.”
The
Warrants held by the Selling Stockholders contain limitations which prevent the holder from exercising such Warrants if such exercise
would cause the Selling Stockholder, together with certain related parties, to beneficially own a number of shares of Common Stock which
would exceed 4.99% of our then outstanding shares of Common Stock following such exercise, excluding for purposes of such determination,
shares of Common Stock issuable upon exercise of the Warrants which have not been exercised.
The
table below sets forth, as of July 10, 2024, the following information regarding the Selling Stockholders:
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the
names of the Selling Stockholders; |
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the
number of shares of Common Stock owned by the Selling Stockholders prior to this offering, without regard to any beneficial ownership
limitations contained in the Warrants; |
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the
number of shares of Common Stock to be offered by the Selling Stockholders in this offering; |
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the
number of shares of Common Stock to be owned by the Selling Stockholders assuming the sale of all of the shares of Common Stock covered
by this prospectus; and |
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the
percentage of our issued and outstanding shares of Common Stock to be owned by Selling Stockholders assuming the sale of all of the
shares of Common Stock covered by this prospectus based on the number of shares of Common Stock issued and outstanding as of July
10, 2024. |
Except
as described above, the number of shares of Common Stock beneficially owned by the Selling Stockholder has been determined in accordance
with Rule 13d-3 under the Exchange Act and includes, for such purpose, shares of Common Stock that the Selling Stockholder has the right
to acquire within 60 days of July 10, 2024.
All
information with respect to the Common Stock ownership of the Selling Stockholders has been furnished by or on behalf of the Selling
Stockholders. We believe, based on information supplied by the Selling Stockholders, that except as may otherwise be indicated in the
footnotes to the table below, the Selling Stockholder has sole voting and dispositive power with respect to the shares of Common Stock
reported as beneficially owned by the Selling Stockholders. Because the Selling Stockholders identified in the table may sell some or
all of the shares of Common Stock beneficially owned by them and covered by this prospectus, and because there are currently no agreements,
arrangements or understandings with respect to the sale of any of the shares of Common Stock, no estimate can be given as to the number
of shares of Common Stock available for resale hereby that will be held by the Selling Stockholders upon termination of this offering.
In addition, the Selling Stockholders may have sold, transferred or otherwise disposed of, or may sell, transfer or otherwise dispose
of, at any time and from time to time, the shares of Common Stock they beneficially own in transactions exempt from the registration
requirements of the Securities Act after the date on which they provided the information set forth in the table below. We have, therefore,
assumed for the purposes of the following table, that the Selling Stockholders will sell all of the shares of Common Stock owned beneficially
by it that are covered by this prospectus, but will not sell any other shares of Common Stock that they presently own. Except as set
forth below, the Selling Stockholders have not held any position or office, or have otherwise had a material relationship, with us or
any of our subsidiaries within the past three years other than as a result of the ownership of our shares of Common Stock or other securities.
| Name of Selling Stockholders | |
Shares Owned prior to Offering (1) | | |
Shares Offered by this Prospectus | | |
Shares Owned after Offering | | |
Percentage of
Shares Beneficially Owned
after Offering
(1) | |
| Armistice Capital, LLC | |
| 6,389,892 | (2) | |
| 4,500,000 | | |
| 1,889,892 | | |
| 4.99 | % |
| Bigger Capital Fund, LP | |
| 1,252,550 | (3) | |
| 1,125,000 | | |
| 127,550 | | |
| 1.1 | % |
| District 2 Capital Fund LP | |
| 829,200 | (4) | |
| 750,000 | | |
| 79,200 | | |
| * | |
| Noam Rubinstein | |
| 52,789 | (5) | |
| 31,875 | | |
| 20,914 | | |
| * | |
| Craig Schwabe | |
| 14,252 | (5) | |
| 8,606 | | |
| 5,646 | | |
| * | |
| Michael Mirksy | |
| 80,239 | (5) | |
| 48,450 | | |
| 31,789 | | |
| * | |
| Michael Vasinkevich | |
| 270,809 | (5) | |
| 163,519 | | |
| 107,290 | | |
| * | |
| Charles Worthman | |
| 4,223 | (5) | |
| 2,550 | | |
| 1,673 | | |
| * | |
*
Less than 1.0%.
| (1) |
Percentages
are based on 10,339,143 share of Common Stock outstanding as of July 10, 2024, assuming the resale of all of the shares of Common
Stock covered by this prospectus. |
| |
|
| (2) |
Contains
(i) Series C Warrants to purchase up to 3,000,000 shares of Common Stock, (ii) Series D Warrants to purchase up to 1,500,000 shares
of Common Stock, (iii) certain outstanding warrants to purchase up to 539,892 shares of Common Stock, (iv) 860,000 shares of Common
Stock and (v) 490,000 shares of Common Stock issuable pursuant to the Inducement Letter underlying Existing Warrants, subject to
a beneficial ownership blocker of 9.99%. The securities are directly held by Armistice Capital Master Fund Ltd., a Cayman Islands
exempted company (the “Master Fund”) and may be deemed to be beneficially owned by: (i) Armistice Capital, LLC (“Armistice
Capital”), as the investment manager of the Master Fund; and (ii) Steven Boyd, as the Managing Member of Armistice Capital.
The warrants are subject to a beneficial ownership limitation of 4.99%, which such limitation restricts the Selling Stockholder from
exercising that portion of the warrants that would result in the Selling Stockholder and its affiliates owning, after exercise, a
number of shares of common stock in excess of the beneficial ownership limitation. The address of Armistice Capital Master Fund Ltd.
is c/o Armistice Capital, LLC, 510 Madison Avenue, 7th Floor, New York, NY 10022. |
| |
|
| (3) |
Contains
(i) Series C Warrants to purchase up to 750,000 shares of Common Stock, (ii) Series D Warrants to purchase up to 375,000 shares of
Common Stock, (iii) certain outstanding warrants to purchase up to 8,750 shares of Common Stock, and (iv) certain outstanding pre-funded
warrants to purchase up to 118,800 shares of Common Stock. The securities are directly owned by Bigger Capital Fund, LP (“Bigger
Capital”). Michael Bigger, the managing member of Bigger Capital, may be deemed to beneficially own the securities owned by
Bigger Capital. The address of the principal business office of Bigger Capital is 11700 West Charleston BLVD. #170-659, Las Vegas,
NV 89135. |
| |
|
| (4) |
Contains
(i) Series C Warrants to purchase up to 500,000 shares of Common Stock, (ii) Series D Warrants to purchase up to 250,000 shares of
Common Stock and (iii) certain outstanding pre-funded warrants to purchase up to 79,200 shares of Common Stock. The securities are
directly owned by District 2 Capital Fund LP (“District 2”). Michael Bigger, the managing member of District 2, may be
deemed to beneficially own the securities owned by District 2. The address of the principal business office of District 2 is 14 Wall
Street, 2nd Floor, Huntington, NY 11743. |
| |
|
| (5) |
Each
of the Selling Stockholders is affiliated with H.C. Wainwright & Co., LLC, a registered broker dealer with a registered address
of H.C. Wainwright & Co., LLC, 430 Park Ave, 3rd Floor, New York, NY 10022, and has sole voting and dispositive power over the
securities held. The number of shares beneficially owned prior to this offering consist of shares of Common Stock issuable upon exercise
of the Placement Agent Warrants and other warrants received as compensation in connection with the offerings consummated by us in
September 2023 and February 2024. The Selling Stockholder acquired the Placement Agent Warrants in the ordinary course of business
and, at the time the Placement Agent Warrants were acquired, the Selling Stockholder had no agreement or understanding, directly
or indirectly, with any person to distribute such securities. |
USE
OF PROCEEDS
The
Common Stock to be offered and sold using this prospectus will be offered and sold by the Selling Stockholders named in this prospectus.
Accordingly, we will not receive any proceeds from any sale of shares of Common Stock in this offering. However, we will receive the
exercise price per share for each Warrant exercised for cash; however, we are unable to predict the timing or amount of potential Warrant
exercises. As such, we have not allocated any proceeds of such exercises to any particular purpose. Accordingly, all such proceeds, if
any, will be used for working capital and other general corporate purposes.
PLAN
OF DISTRIBUTION
Each
Selling Stockholder of the securities and any of their pledgees, assignees and successors-in-interest may, from time to time, sell any
or all of their securities covered hereby on Nasdaq or any other stock exchange, market or trading facility on which the securities are
traded or in private transactions. These sales may be at fixed or negotiated prices. A Selling Stockholder may use any one or more of
the following methods when selling securities:
| |
● |
ordinary
brokerage transactions and transactions in which the broker-dealer solicits purchasers; |
| |
|
|
| |
● |
block
trades in which the broker-dealer will attempt to sell the securities as agent but may position and resell a portion of the block
as principal to facilitate the transaction; |
| |
|
|
| |
● |
purchases
by a broker-dealer as principal and resale by the broker-dealer for its account; |
| |
|
|
| |
● |
an
exchange distribution in accordance with the rules of the applicable exchange; |
| |
|
|
| |
● |
privately
negotiated transactions; |
| |
|
|
| |
● |
settlement
of short sales; |
| |
|
|
| |
● |
in
transactions through broker-dealers that agree with the Selling Stockholders to sell a specified number of such securities at a stipulated
price per security; |
| |
|
|
| |
● |
through
the writing or settlement of options or other hedging transactions, whether through an options exchange or otherwise; |
| |
|
|
| |
● |
a
combination of any such methods of sale; or |
| |
|
|
| |
● |
any
other method permitted pursuant to applicable law. |
The
Selling Stockholders may also sell securities under Rule 144 or any other exemption from registration under the Securities Act, if available,
rather than under this prospectus.
Broker-dealers
engaged by the Selling Stockholders may arrange for other brokers-dealers to participate in sales. Broker-dealers may receive commissions
or discounts from the Selling Stockholders (or, if any broker-dealer acts as agent for the purchaser of securities, from the purchaser)
in amounts to be negotiated, but, except as set forth in a supplement to this Prospectus, in the case of an agency transaction not in
excess of a customary brokerage commission in compliance with FINRA Rule 2121; and in the case of a principal transaction a markup or
markdown in compliance with FINRA Rule 2121.
In
connection with the sale of the securities or interests therein, the Selling Stockholders may enter into hedging transactions with broker-dealers
or other financial institutions, which may in turn engage in short sales of the securities in the course of hedging the positions they
assume. The Selling Stockholders may also sell securities short and deliver these securities to close out their short positions, or loan
or pledge the securities to broker-dealers that in turn may sell these securities. The Selling Stockholders may also enter into option
or other transactions with broker-dealers or other financial institutions or create one or more derivative securities which require the
delivery to such broker-dealer or other financial institution of securities offered by this prospectus, which securities such broker-dealer
or other financial institution may resell pursuant to this prospectus (as supplemented or amended to reflect such transaction).
The
Selling Stockholders and any broker-dealers or agents that are involved in selling the securities may be deemed to be “underwriters”
within the meaning of the Securities Act in connection with such sales. In such event, any commissions received by such broker-dealers
or agents and any profit on the resale of the securities purchased by them may be deemed to be underwriting commissions or discounts
under the Securities Act. Each Selling Stockholder has informed us that it does not have any written or oral agreement or understanding,
directly or indirectly, with any person to distribute the securities.
We
are required to pay certain fees and expenses incurred by us incident to the registration of the securities. We have agreed to indemnify
the Selling Stockholders against certain losses, claims, damages and liabilities, including liabilities under the Securities Act.
We
agreed to keep the registration statement of which this prospectus is a part effective until at all times until the Holders no longer
own any Series C Warrants or Series D Warrants or the shares issuable upon exercise thereof. The resale securities will be sold only
through registered or licensed brokers or dealers if required under applicable state securities laws. In addition, in certain states,
the resale securities covered hereby 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 is complied with.
Under
applicable rules and regulations under the Exchange Act, any person engaged in the distribution of the resale securities may not simultaneously
engage in market making activities with respect to the Common Stock for the applicable restricted period, as defined in Regulation M,
prior to the commencement of the distribution. In addition, the Selling Stockholders will be subject to applicable provisions of the
Exchange Act and the rules and regulations thereunder, including Regulation M, which may limit the timing of purchases and sales of the
Common Stock by the Selling Stockholders or any other person. We will make copies of this prospectus available to the Selling Stockholders
and have informed them of the need to deliver a copy of this prospectus to each purchaser at or prior to the time of the sale (including
by compliance with Rule 172 under the Securities Act).
Our
Common Stock is quoted on Nasdaq under the symbol “CING.”
DESCRIPTION
OF SECURITIES
The
following description summarizes the most important terms of our securities. Because it is only a summary, it does not contain all the
information that may be important to you. For a complete description, you should refer to our amended and restated certificate of incorporation
and restated bylaws, copies of which are filed as exhibits to the registration statement of which this prospectus forms a part, which
are incorporated by reference herein.
Authorized
Capitalization
We
have 250,000,000 shares of capital stock authorized under our amended and restated certificate of incorporation, consisting of 240,000,000
shares of Common Stock with a par value of $0.0001 per share and 10,000,000 shares of preferred stock with a par value of $0.0001 per
share.
As
of July 10, 2024, there were 10,339,143 shares of Common Stock outstanding, and no shares of preferred stock outstanding.
Common
Stock
Holders
of our Common Stock are entitled to such dividends as may be declared by our board of directors out of funds legally available for such
purpose. The shares of Common Stock are neither redeemable nor convertible. Holders of Common Stock have no preemptive or subscription
rights to purchase any of our securities.
Each
holder of our Common Stock is entitled to one vote for each such share outstanding in the holder’s name. No holder of Common Stock
is entitled to cumulate votes in voting for directors.
In
the event of our liquidation, dissolution or winding up, the holders of our Common Stock are entitled to receive a pro rata share of
our assets, which are legally available for distribution, after payments of all debts and other liabilities. All of the outstanding shares
of our Common Stock are fully paid and non-assessable.
Preferred
Stock
Our
board of directors has the authority, without further action by our stockholders, to issue up to 10,000,000 shares of preferred stock
in one or more classes or series and to fix the designations, rights, preferences, privileges and restrictions thereof, without further
vote or action by the stockholders. These rights, preferences and privileges could include dividend rights, conversion rights, voting
rights, terms of redemption, liquidation preferences, sinking fund terms and the number of shares constituting, or the designation of,
such class or series, any or all of which may be greater than the rights of Common Stock. The issuance of our preferred stock could adversely
affect the voting power of holders of Common Stock and the likelihood that such holders will receive dividend payments and payments upon
our liquidation. In addition, the issuance of preferred stock could have the effect of delaying, deferring or preventing a change in
control of our company or other corporate action. No shares of preferred stock are outstanding, and we have no present plan to issue
any shares of preferred stock.
Anti-Takeover
Effects of Delaware law and Our Certificate of Incorporation and Bylaws
The
provisions of Delaware law, our amended and restated certificate of incorporation and our amended and restated bylaws described below
may have the effect of delaying, deferring or discouraging another party from acquiring control of us.
Section
203 of the Delaware General Corporation Law
We
are subject to Section 203 of the Delaware General Corporation Law, which prohibits a Delaware corporation from engaging in any business
combination with any interested stockholder for a period of three years after the date that such stockholder became an interested stockholder,
with the following exceptions:
| |
● |
before
such date, the board of directors of the corporation approved either the business combination or the transaction that resulted in
the stockholder becoming an interested stockholder; |
| |
● |
upon
completion of the transaction that resulted in the stockholder becoming an interested stockholder, the interested stockholder owned
at least 85% of the voting stock of the corporation outstanding at the time the transaction began, excluding for purposes of determining
the voting stock outstanding (but not the outstanding voting stock owned by the interested stockholder) those shares owned (i) by
persons who are directors and also officers and (ii) 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 |
| |
● |
on
or after such date, the business combination is approved by the board of directors and authorized at an annual or special meeting
of the stockholders, and not by written consent, by the affirmative vote of at least 66 2/3% of the outstanding voting stock that
is not owned by the interested stockholder. |
In
general, Section 203 defines business combination to include the following:
| |
● |
any
merger or consolidation involving the corporation and the interested stockholder; |
| |
|
|
| |
● |
any
sale, transfer, pledge or other disposition of 10% or more of the assets of the corporation involving the interested stockholder; |
| |
|
|
| |
● |
subject
to certain exceptions, any transaction that results in the issuance or transfer by the corporation of any stock of the corporation
to the interested stockholder; |
| |
|
|
| |
● |
any
transaction involving the corporation that has the effect of increasing the proportionate share of the stock or any class or series
of the corporation beneficially owned by the interested stockholder; or |
| |
|
|
| |
● |
the
receipt by the interested stockholder of the benefit of any loss, advances, guarantees, pledges or other financial benefits by or
through the corporation. |
In
general, Section 203 defines an “interested stockholder” as an entity or person who, together with the person’s affiliates
and associates, beneficially owns, or within three years prior to the time of determination of interested stockholder status did own,
15% or more of the outstanding voting stock of the corporation.
Certificate
of Incorporation and Bylaws
Our
amended and restated certificate of incorporation and amended and restated bylaws provide for:
| |
● |
classifying
our board of directors into three classes; |
| |
|
|
| |
● |
authorizing
the issuance of “blank check” preferred stock, the terms of which may be established and shares of which may be issued
without stockholder approval; |
| |
|
|
| |
● |
limiting
the removal of directors by the stockholders; |
| |
|
|
| |
● |
requiring
a supermajority vote of stockholders to amend our bylaws or certain provisions our certificate of incorporation; |
| |
|
|
| |
● |
prohibiting
stockholder action by written consent, thereby requiring all stockholder actions to be taken at a meeting of our stockholders; |
| |
|
|
| |
● |
eliminating
the ability of stockholders to call a special meeting of stockholders; |
| |
|
|
| |
● |
establishing
advance notice requirements for nominations for election to the board of directors or for proposing matters that can be acted upon
at stockholder meetings; and |
| |
|
|
| |
● |
establishing
Delaware as the exclusive jurisdiction for certain stockholder litigation against us. |
Potential
Effects of Authorized but Unissued Stock
Pursuant
to our amended and restated certificate of incorporation, we have shares of Common Stock and preferred stock available for future issuance
without stockholder approval. We may utilize these additional shares for a variety of corporate purposes, including future public offerings
to raise additional capital, to facilitate corporate acquisitions or payment as a dividend on the capital stock.
The
existence of unissued and unreserved Common Stock and preferred stock may enable our board of directors to issue shares to persons friendly
to current management or to issue preferred stock with terms that could render more difficult or discourage a third-party attempt to
obtain control of us by means of a merger, tender offer, proxy contest or otherwise, thereby protecting the continuity of our management.
In addition, the board of directors has the discretion to determine designations, rights, preferences, privileges and restrictions, including
voting rights, dividend rights, conversion rights, redemption privileges and liquidation preferences of each series of preferred stock,
all to the fullest extent permissible under the Delaware General Corporation Law and subject to any limitations set forth in our certificate
of incorporation. The purpose of authorizing the board of directors to issue preferred stock and to determine the rights and preferences
applicable to such preferred stock is to eliminate delays associated with a stockholder vote on specific issuances. The issuance of preferred
stock, while providing desirable flexibility in connection with possible financings, acquisitions and other corporate purposes, could
have the effect of making it more difficult for a third-party to acquire, or could discourage a third-party from acquiring, a majority
of our outstanding voting stock.
Choice
of Forum
Unless
we consent in writing to the selection of an alternative forum, the Court of Chancery of the State of Delaware shall be the sole and
exclusive forum for any stockholder to bring (i) any derivative action or proceeding brought on behalf of the Company, (ii) any action
asserting a claim of breach of fiduciary duty owed by any director, officer or other employee of the Company or the Company’s stockholders,
(iii) any action asserting a claim against the Company or any director or officer of the Company arising pursuant to, or a claim against
the Company or any director or officer of the Company, with respect to the interpretation or application of any provision of the DGCL,
our certificate of incorporation or bylaws, or (iv) any action asserting a claim governed by the internal affairs doctrine, except for,
in each of the aforementioned actions, any claims to which the Court of Chancery of the State of Delaware determines it lacks jurisdiction.
This provision will not apply to claims arising under the Exchange Act, or for any other federal securities laws which provide for exclusive
federal jurisdiction. However, the exclusive forum provision provides that unless we consent in writing to the selection of an alternative
forum, the federal district courts of the United States of America will be the exclusive forum for the resolution of any complaint asserting
a cause of action arising under the Securities Act. Therefore, this provision could apply to a suit that falls within one or more of
the categories enumerated in the exclusive forum provision and that asserts claims under the Securities Act, inasmuch as Section 22 of
the Securities Act creates concurrent jurisdiction for federal and state courts over all suits brought to enforce any duty or liability
created by the Securities Act or the rules and regulations thereunder. There is uncertainty as to whether a court would enforce such
an exclusive forum provision with respect to claims under the Securities Act.
We
note that there is uncertainty as to whether a court would enforce the provision and that investors cannot waive compliance with the
federal securities laws and the rules and regulations thereunder. Although we believe this provision benefits us by providing increased
consistency in the application of Delaware law in the types of lawsuits to which it applies, the provision may have the effect of discouraging
lawsuits against our directors and officers.
Transfer
Agent
The
transfer agent of our Common Stock is Computershare Trust Company, N.A.
LEGAL
MATTERS
The
validity of the shares of Common Stock offered hereby will be passed upon for us by Lowenstein Sandler LLP, New York, New York.
EXPERTS
Our
consolidated financial statements as of December 31, 2023 and 2022, and for each of the years in the two-year period ended December 31,
2023, have been incorporated by reference herein in reliance upon the report of KPMG LLP, independent registered public accounting firm,
incorporated by reference herein, and upon the authority of said firm as experts in accounting and auditing. The audit report covering
the December 31, 2023 and 2022 consolidated financial statements contains an explanatory paragraph that states that our losses and negative
cash flows from operations raise substantial doubt about the entity’s ability to continue as a going concern. The consolidated
financial statements do not include any adjustments that might result from the outcome of that uncertainty.
WHERE
YOU CAN FIND MORE INFORMATION
We
have filed with the SEC a registration statement on Form S-3 under the Securities Act with respect to the shares of Common Stock offered
by this prospectus. This prospectus, which is part of the registration statement, omits certain information, exhibits, schedules and
undertakings set forth in the registration statement. For further information pertaining to us and our securities, reference is made
to our SEC filings and the registration statement and the exhibits and schedules to the registration statement. Statements contained
in this prospectus as to the contents or provisions of any documents referred to in this prospectus are not necessarily complete, and
in each instance where a copy of the document has been filed as an exhibit to the registration statement, reference is made to the exhibit
for a more complete description of the matters involved.
In
addition, registration statements and certain other filings made with the SEC electronically are publicly available through the SEC’s
web site at http://www.sec.gov. The registration statement, including all exhibits and amendments to the registration statement, has
been filed electronically with the SEC.
We
are subject to the information and periodic reporting requirements of the Securities Exchange Act of 1934, as amended, and, in accordance
with such requirements, will file periodic reports, proxy statements, and other information with the SEC. These periodic reports, proxy
statements, and other information will be available for inspection and copying at the web site of the SEC referred to above. We also
maintain a website at https://www.cingulate.com, at which you may access these materials free of charge as soon as reasonably practicable
after they are electronically filed with, or furnished to, the SEC. The information contained in, or that can be accessed through, our
website is not part of, and is not incorporated into, this prospectus. We have included our website address in this prospectus solely
as an inactive textual reference.
INCORPORATION
OF CERTAIN INFORMATION BY REFERENCE
The
SEC allows us to “incorporate by reference” information that we file with it into this prospectus, which means that we can
disclose important information to you by referring you to those documents. The information incorporated by reference is an important
part of this prospectus. The information incorporated by reference is considered to be a part of this prospectus, and information that
we file later with the SEC will automatically update and supersede information contained in this prospectus and any accompanying prospectus
supplement.
We
incorporate by reference the documents listed below that we have previously filed with the SEC:
| |
● |
our
Annual Report on Form 10-K for the year ended December 31, 2023, filed on April 1, 2024; |
| |
|
|
| |
● |
our
Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, filed on May 8, 2024; |
| |
|
|
| |
● |
our
Current Reports on Form 8-K, filed January 29, 2024, February 7, 2024, February 13, 2024, February 26, 2024, March 18, 2024, May 13, 2024, May 28, 2024, June 12, 2024, June 18, 2024, and July 1, 2024 (other than any portions deemed furnished and not filed);
and |
| |
|
|
| |
● |
the
description of our Common Stock contained in our Registration Statement on Form 8-A, filed with the SEC on December 3, 2021, including
any amendments thereto or reports filed for the purposes of updating this description, including Exhibit 4.5 to our Annual Report
on Form 10-K for the year ended December 31, 2023, filed with the SEC on April 1, 2024. |
All
reports and other documents that we file with the SEC under Sections 13(a), 13(c), 14 or 15(d) of the Exchange Act after the date of
the initial registration statement and prior to effectiveness of the registration statement, and after the date of this prospectus but
before the termination of the offering of the securities hereunder will also be considered to be incorporated by reference into this
prospectus from the date of the filing of these reports and documents, and will supersede the information herein; provided, however,
that all reports, exhibits and other information that we “furnish” to the SEC will not be considered incorporated by reference
into this prospectus. We undertake to provide without charge to each person (including any beneficial owner) who receives a copy of this
prospectus, upon written or oral request, a copy of all of the preceding documents that are incorporated by reference (other than exhibits,
unless the exhibits are specifically incorporated by reference into these documents). You may request a copy of these materials in the
manner set forth under the heading “Where You Can Find More Information,” above.
We
will provide you without charge, upon your oral or written request, with a copy of any or all reports, proxy statements and other documents
we file with the SEC, as well as any or all of the documents incorporated by reference in this prospectus or the registration statement
(other than exhibits to such documents unless such exhibits are specifically incorporated by reference into such documents). Requests
for such copies should be directed to:
Cingulate,
Inc.
Attn:
Shane J. Schaffer
Chief
Executive Officer
1901
W. 47th Place
Kansas
City, KS 66205
Telephone
Number: (913) 942-2300
6,630,000
Shares of Common Stock
Issuable
Upon Exercise of Outstanding Warrants
PRELIMINARY
PROSPECTUS
,
2024
PART
II
INFORMATION
NOT REQUIRED IN PROSPECTUS
Item
14. Other Expenses of Issuance and Distribution.
The
following table indicates the expenses to be incurred in connection with the offering described in this registration statement, other
than underwriting discounts and commissions, all of which will be paid by us. All amounts are estimated except the Securities and Exchange
Commission registration fee.
| | |
Amount | |
| SEC Registration Fee | |
$ | 383 | |
| Legal Fees and Expenses | |
| 25,000 | |
| Accounting Fees and Expenses | |
| 25,000 | |
| Transfer Agent and Registrar fees and expenses | |
| 5,000 | |
| Miscellaneous Expenses | |
| 5,000 | |
| Total expenses | |
$ | 60,383 | |
Item
15. Indemnification of Directors and Officers.
As
permitted by Section 102 of the Delaware General Corporation Law, we have adopted provisions in our amended and restated certificate
of incorporation and bylaws that limit or eliminate the personal liability of our directors for a breach of their fiduciary duty of care
as a director. The duty of care generally requires that, when acting on behalf of the corporation, directors exercise an informed business
judgment based on all material information reasonably available to them. Consequently, a director will not be personally liable to us
or our stockholders for monetary damages for breach of fiduciary duty as a director, except for liability for:
| |
● |
any
breach of the director’s duty of loyalty to us or our stockholders; |
| |
|
|
| |
● |
any
act or omission not in good faith or that involves intentional misconduct or a knowing violation of law; |
| |
|
|
| |
● |
any
act related to unlawful stock repurchases, redemptions or other distributions or payment of dividends; or |
| |
|
|
| |
● |
any
transaction from which the director derived an improper personal benefit. |
These
limitations of liability do not affect the availability of equitable remedies such as injunctive relief or rescission. Our amended and
restated certificate of incorporation also authorizes us to indemnify our officers, directors and other agents to the fullest extent
permitted under Delaware law.
As
permitted by Section 145 of the Delaware General Corporation Law, our bylaws provide that:
| |
● |
we
may indemnify our directors, officers, and employees to the fullest extent permitted by the Delaware General Corporation Law, subject
to limited exceptions; |
| |
|
|
| |
● |
we
may advance expenses to our directors, officers and employees in connection with a legal proceeding to the fullest extent permitted
by the Delaware General Corporation Law, subject to limited exceptions; and |
| |
|
|
| |
● |
the
rights provided in our bylaws are not exclusive. |
Our
amended and restated certificate of incorporation, filed as Exhibit 3.1 hereto, and our amended and restated bylaws, filed as Exhibit
3.2 hereto, provide for the indemnification provisions described above and elsewhere herein. We have entered into and intend to continue
to enter into separate indemnification agreements with our directors and elective officers which may be broader than the specific indemnification
provisions contained in the Delaware General Corporation Law. These indemnification agreements generally require us, among other things,
to indemnify our officers and directors against liabilities that may arise by reason of their status or service as directors or officers,
other than liabilities arising from willful misconduct. These indemnification agreements also generally require us to advance any expenses
incurred by the directors or officers as a result of any proceeding against them as to which they could be indemnified. In addition,
we have purchased a policy of directors’ and officers’ liability insurance that insures our directors and officers against
the cost of defense, settlement or payment of a judgment in some circumstances. These indemnification provisions and the indemnification
agreements may be sufficiently broad to permit indemnification of our officers and directors for liabilities, including reimbursement
of expenses incurred, arising under the Securities Act.
Item
16. Exhibits
Item
17. Undertakings
The
undersigned registrant hereby undertakes:
1)
To file, during any period in which offers or sales are being made, a post-effective amendment to this registration
statement:
a.
To include any prospectus required by Section 10(a)(3) of the Securities Act of 1933;
b.
To reflect in the prospectus any facts or events arising after the effective date of the registration statement (or the most recent
post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set
forth in the registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the
total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of
the estimated maximum offering range may be reflected in the form of prospectus filed with the Commission pursuant to Rule 424(b)
if, in the aggregate, the changes in volume and price represent no more than a 20 percent change in the maximum aggregate offering
price set forth in the “Calculation of Registration Fee” table in the effective registration statement;
c.
To include any material information with respect to the plan of distribution not previously disclosed in the registration statement
or any material change to such information in the registration statement.
Provided,
however, That: Paragraphs (1)(a), (1)(b) and (1)(c) above do not apply if the information required to be included in a post-effective
amendment by those paragraphs is contained in periodic reports filed with or furnished to the Commission by the registrant pursuant to
Section 13 or Section 15(d) of the Securities Exchange Act of 1934 that are incorporated by reference in the registration statement,
or is contained in a form of prospectus filed pursuant to Rule 424(b) that is part of the registration statement.
2)
That, for the purpose of determining any liability under the Securities Act of 1933, each such post-effective amendment shall be
deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that
time shall be deemed to be the initial bona fide offering thereof.
3)
To remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the
termination of the offering.
4)
That, for the purpose of determining liability under the Securities Act of 1933 to any purchaser:
| |
a. |
If
the registrant is relying on Rule 430B: |
| |
i. |
Each
prospectus filed by the registrant pursuant to Rule 424(b)(3) shall be deemed to be part of the registration statement as of the
date the filed prospectus was deemed part of and included in the registration statement; and |
| |
|
|
| |
ii. |
Each
prospectus required to be filed pursuant to Rule 424(b)(2), (b)(5), or (b)(7) as part of a registration statement in reliance on
Rule 430B relating to an offering made pursuant to Rule 415(a)(1)(i), (vii), or (x) for the purpose of providing the information
required by section 10(a) of the Securities Act of 1933 shall be deemed to be part of and included in the registration statement
as of the earlier of the date such form of prospectus is first used after effectiveness or the date of the first contract of sale
of securities in the offering described in the prospectus. As provided in Rule 430B, for liability purposes of the issuer and any
person that is at that date an underwriter, such date shall be deemed to be a new effective date of the registration statement relating
to the securities in the registration statement to which that prospectus relates, and the offering of such securities at that time
shall be deemed to be the initial bona fide offering thereof. Provided, however, that no statement made in a registration statement
or prospectus that is part of the registration statement or made in a document incorporated or deemed incorporated by reference into
the registration statement or prospectus that is part of the registration statement will, as to a purchaser with a time of contract
of sale prior to such effective date, supersede or modify any statement that was made in the registration statement or prospectus
that was part of the registration statement or made in any such document immediately prior to such effective date. |
| |
b. |
If
the registrant is subject to Rule 430C, each prospectus filed pursuant to Rule 424(b) as part of a registration statement relating
to an offering, other than registration statements relying on Rule 430B or other than prospectuses filed in reliance on Rule 430A,
shall be deemed to be a part of and included in the registration statement as of the date it is first used after effectiveness. Provided,
however, that no statement made in a registration statement or prospectus that is part of the registration statement or made in a
document incorporated or deemed incorporated by reference into the registration statement or prospectus that is part of the registration
statement will, as to a purchaser with a time of contract of sale prior to such first use, supersede or modify any statement that
was made in the registration statement or prospectus that was part of the registration statement or made in any such document immediately
prior to such date of first use. |
| 5) |
That,
for the purpose of determining liability of the registrant under the Securities Act of 1933 to any purchaser in the initial distribution
of the securities, the undersigned registrant undertakes that in a primary offering of securities of the registrant pursuant to this
registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are
offered or sold to such purchaser by means of any of the following communications, the registrant will be a seller to the purchaser
and will be considered to offer or sell such securities to such purchaser: |
| |
a. |
Any
preliminary prospectus or prospectus of the registrant relating to the offering required to be filed pursuant to Rule 424; |
| |
|
|
| |
b. |
Any
free writing prospectus relating to the offering prepared by or on behalf of the undersigned registrant or used or referred to by
the undersigned registrant; |
| |
|
|
| |
c. |
The
portion of any free writing prospectus relating to the offering containing material information about the registrant or its securities
provided by or on behalf of the registrant; and |
| |
|
|
| |
d. |
Any
other communication that is an offer in the offering made by a registrant to the purchaser. |
| 6) |
That,
for the purposes of determining any liability under the Securities Act of 1933, each filing of the registrant’s annual report
pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (and, where applicable, each filing of an employee benefit
plan’s annual report pursuant to Section 15(d) of the Securities Exchange Act of 1934) that is incorporated by reference in
the registration statement shall be deemed to be a new registration statement relating to the securities offered therein, and the
offering of such securities at that time shall be deemed to be the initial bona fide offering thereof. |
| |
|
| 7) |
Insofar
as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to directors, officers and controlling
persons of the registrant pursuant to the forgoing provisions, or otherwise, the registrant has been advised that in the opinion
of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Act and is, therefore,
unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrant of
expenses incurred or paid by a director, officer or controlling person of the registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered,
the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court
of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and
will be governed by the final adjudication of such issue. |
SIGNATURES
Pursuant
to the requirements of the Securities Act of 1933, the registrant certifies that it has reasonable grounds to believe that it meets all
of the requirements for filing on Form S-3 and has duly caused this Registration Statement to be signed on its behalf by the undersigned,
thereunto duly authorized, in the City of Kansas City, Kansas, on the day of July 15, 2024.
| |
CINGULATE,
INC. |
| |
|
|
| |
By: |
/s/
Shane J. Schaffer |
| |
Name: |
Shane
J. Schaffer |
| |
Title: |
Chief
Executive Officer |
POWER
OF ATTORNEY AND SIGNATURES
We,
the undersigned officers and directors of Cingulate Inc., hereby severally constitute and appoint Shane J. Schaffer and Jennifer L. Callahan,
and each of them singly (with full power to each of them to act alone), to sign any and all amendments (including post-effective amendments)
to this registration statement (or any other registration statement for the same offering that is to be effective upon filing pursuant
to Rule 462(b) under the Securities Act of 1933), and to file the same, with all exhibits thereto and other documents in connection therewith,
with the Securities and Exchange Commission, granting unto said attorneys-in-fact and agents, and each of them, full power and authority
to do and perform each and every act and thing requisite or necessary to be done in and about the premises, as full to all intents and
purposes as he might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents or any of them,
or their or his substitute or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant
to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons on behalf of
the registrant in the capacities and on the dates indicated.
| Signature |
|
Title |
|
Date |
| |
|
|
|
|
| /s/
Shane J. Schaffer |
|
|
|
|
| Shane
J. Schaffer |
|
Chief
Executive Officer, Chairman (Principal Executive Officer) |
|
July
15, 2024 |
| |
|
|
|
|
| /s/
Jennifer L. Callahan |
|
|
|
|
| Jennifer
L. Callahan |
|
Chief
Financial Officer (Principal Financial Officer and Principal Accounting Officer) |
|
July
15, 2024 |
| |
|
|
|
|
| /s/
Peter J. Werth |
|
|
|
July
15, 2024 |
| Peter
J. Werth |
|
Director |
|
|
| |
|
|
|
|
| /s/
Bryan Lawrence |
|
|
|
July
15, 2024 |
| Bryan
Lawrence |
|
Director |
|
|
| |
|
|
|
|
| /s/
Jeffrey Ervin |
|
|
|
July
15, 2024 |
| Jeffrey
Ervin |
|
Director |
|
|
| |
|
|
|
|
| /s/
John Roberts |
|
|
|
July
15, 2024 |
| John
Roberts |
|
Director |
|
|
EXHIBIT
5.1
July
15, 2024
Cingulate,
Inc.
1901
W. 47th Place
Kansas
City, KS 66205
Ladies
and Gentlemen:
We
have acted as counsel to Cingulate Inc., a Delaware corporation (the “Company”), in connection with the Company’s
Registration Statement on Form S-3 (the “Registration Statement”) under the Securities Act of 1933, as amended (the
“Securities Act”). The Registration Statement relates to the offer and sale by the selling stockholders identified
therein of up to 6,630,000 shares of the Company’s common stock, par value $0.0001 per share (the “Common Stock”).
Such shares of Common Stock consist of: (i) 4,250,000 shares of Common Stock (the “Series C Warrant Shares”) issuable
upon the exercise of series C warrants (the “Series C Warrants”); (ii) 2,125,000 shares of Common Stock (the “Series
D Warrant Shares”) issuable upon the exercise of series D warrants (the “Series D Warrants”); and (iii)
255,000 shares of Common Stock (the “PA Warrant Shares” and together with the Series C Warrant Shares and the Series
D Warrant Shares, the “Warrant Shares”) issuable upon the exercise of placement agent warrants (the “PA Warrants”
and together with the Series C Warrants and the Series D Warrants, the “Warrants”).
In
connection with rendering this opinion, we have examined the Amended and Restated Certificate of Incorporation, as amended, and the Amended
and Restated Bylaws of the Company, as amended, the forms of the Warrants, and such other corporate records, agreements, documents and
instruments, and such certificates or comparable documents of public officials and of officers and representatives of the Company, and
we have made such inquiries of such officers and representatives, as we have deemed necessary or appropriate for the purposes of this
opinion.
In
such examination, we have assumed the genuineness of all signatures, the legal capacity of all natural persons, the authenticity of all
documents submitted to us as originals, the conformity of original documents of all documents submitted to us as certified, conformed
or photostatic copies and the authenticity of the originals of such latter documents. As to all questions of fact material to these opinions
that have not been independently established, we have relied upon certificates or comparable documents of officers and representatives
of the Company.
Based
on the foregoing, and subject to the qualifications stated herein, we are of the opinion that when issued in accordance with the terms
of the Warrants, the Warrant Shares will be duly authorized, validly issued, fully paid and non-assessable.
The
opinions expressed herein are limited to the corporate laws of the State of Delaware, and we express no opinion as to the effect on the
matters covered by this letter of the laws of any other jurisdiction.
We
hereby consent to the filing of a copy of this opinion letter as an exhibit to the Registration Statement. In giving such consent, we
do not thereby admit that we are in the category of persons whose consent is required under Section 7 of the Act.
| |
Very
truly yours, |
| |
|
| |
/s/
Lowenstein Sandler LLP |
| |
Lowenstein
Sandler LLP |
Exhibit
23.1
KPMG
LLP
Suite
900
10
South Broadway
St.
Louis, MO 63102-1761
Consent
of Independent Registered Public Accounting Firm
We
consent to the use of our report dated April 1, 2024, with respect to the consolidated financial statements of Cingulate Inc., incorporated
herein by reference, and to the reference to our firm under the heading “Experts“ in the prospectus.
/s/
KPMG LLP
St.
Louis, Missouri
July
15, 2024
| |
KPMG
LLP, a Delaware limited liability partnership and a member firm of the KPMG global organization of independent member firms affiliated
with KPMG International Limited, a private English company limited by guarantee. |
|
EXHIBIT
107
Calculation
of Filing Fee Tables
Form
S-3
(Form
Type)
Cingulate,
Inc.
(Exact
Name of Registrant as Specified in its Charter)
| | |
Security Type | |
Security Class Title | |
Fee Calculation or Carry Forward Rule | |
Amount Registered (1) | | |
Proposed Maximum Offering Price Per Unit (2) | | |
Maximum Aggregate Offering Price (1) | | |
Fee Rate | | |
Amount of Registration Fee | |
| Fees to Be Paid | |
Equity | |
Common Stock, par value $0.0001 per share | |
Other | |
| 6,630,000 | | |
$ | 0.390550 | | |
$ | 2,589,346.50 | | |
| 0.00014760 | | |
$ | 382.19 | |
| | |
Total Offering Amounts | | |
| | | |
$ | 2,589,346.50 | | |
| | | |
$ | 382.19 | |
| | |
Total Fees Previously Paid | | |
| | | |
| | | |
| | | |
$ | 0 | |
| | |
Total Fee Offsets | | |
| | | |
| | | |
| | | |
$ | 0 | |
| | |
Net Fee Due | | |
| | | |
| | | |
| | | |
$ | 382.19 | |
| (1) |
Pursuant
to Rule 416 under the Securities Act of 1933, as amended (the “Securities Act”), there is also being registered hereby
such indeterminate number of additional common shares as may be issued or issuable because of stock splits, stock dividends stock
distributions, and similar transactions. |
| |
|
| (2) |
Estimated
solely for the purpose of calculating the registration fee pursuant to Rule 457(c) under the Securities Act based on a per share
price of $0.39055, the average of the high $0.43 and low $0.3511 reported sales prices of the registrant’s
common stock on the Nasdaq Capital Market on July 9, 2024. |
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