CRANFORD, N.J., Sept. 27, 2019 /PRNewswire/ -- Citius
Pharmaceuticals, Inc. ("Citius") ("Company") (NASDAQ: CTXR), a
specialty pharmaceutical company focused on adjunctive cancer care
and critical care drug products, today announced the closing of the
previously announced underwritten at-the-market offering of
7,821,230 shares of its common stock (Common Stock) (or Common
Stock equivalent) and common warrants to purchase up to an
aggregate of 7,821,230 shares of Common Stock (the Offering). Each
share of Common Stock (or Common Stock equivalent) was sold
together with a common warrant to purchase one share of Common
Stock at a combined effective price of $0.8951 per share and accompanying common
warrant. The Company has granted the underwriter a 30-day option to
purchase up to an additional 1,173,184 shares of Common Stock
and/or common warrants to purchase up to 1,173,184 shares of Common
Stock.
H.C. Wainwright & Co. acted as the sole book-running manager
for the Offering.
The gross proceeds of the Offering were approximately
$7.0 million and the net proceeds
from the Offering were approximately $6.1
million, after deducting underwriting discounts and
commissions and other offering expenses. Citius intends to use the
net proceeds from the Offering for general corporate purposes,
including its Phase 3 clinical Mino-Lok trial for the treatment of
catheter related bloodstream infections, the investigational new
drug (IND) regulatory pathway for Mino-Wrap and its Phase
2b clinical trial of Halo-Lido cream
for the treatment of hemorrhoids, and working capital and capital
expenditures.
The common warrants issued in the Offering are exercisable
immediately at an exercise price of $0.77 per share and will expire five years from
the date of issuance.
A registration statement on Form S-1 (File No. 333-233759)
relating to the securities was declared effective by the U.S.
Securities and Exchange Commission (SEC) on September 24, 2019. The Offering was made only by
means of a prospectus forming part of the effective registration
statement. A final prospectus relating to and describing the terms
of the Offering has been filed with the SEC. Electronic copies of
the final prospectus relating to the Offering may be obtained for
free by visiting the SEC's website at www.sec.gov or from H.C.
Wainwright & Co., LLC, 430 Park Avenue, 3rd Floor, New York, New York 10022, by email at
placements@hcwco.com or by telephone at 646-975-6996.
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy these securities, nor shall there
be any sale of these securities in any state or other jurisdiction
in which such offer, solicitation or sale would be unlawful prior
to the registration or qualification under the securities laws of
any such state or other jurisdiction.
About Citius Pharmaceuticals, Inc.
Citius is a specialty pharmaceutical company dedicated to the
development and commercialization of critical care products, with a
focus on anti-infectives, cancer care and unique prescription
products that use innovative, patented or proprietary formulations
of previously-approved active pharmaceutical ingredients. We seek
to achieve leading market positions by providing therapeutic
products that address unmet medical needs; by using previously
approved drugs with substantial safety and efficacy data, we seek
to reduce the risks associated with pharmaceutical product
development and regulatory requirements. Citius develops products
that have intellectual property protection and competitive
advantages to existing therapeutic approaches. For more
information, please visit www.citiuspharma.com.
Forward-Looking Statements
This press release may contain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. Such statements
are made based on our expectations and beliefs concerning future
events impacting Citius. You can identify these statements by the
fact that they use words such as "will," "anticipate," "estimate,"
"expect," "should," and "may" and other words and terms of similar
meaning or use of future dates. Forward-looking statements are
based on management's current expectations and are subject to risks
and uncertainties that could negatively affect our business,
operating results, financial condition and stock price.
Factors that could cause actual results to differ materially
from those currently anticipated are: Citius' expectations
regarding the use of proceeds from the Offering; risks associated
with the design of our ongoing Phase 3 trial for Mino-Lok,
including the recent change to the primary endpoint for that trial
and our ability to show clinical significance of that endpoint;
risks associated with conducting our Phase 3 trial for Mino-Lok,
including completing patient enrollment, patient retention and the
reasons for catheter failure in the trial; risks associated with
sourcing components of our product candidates; our dependence on
third-party suppliers; our ability to obtain, perform under and
maintain financing and strategic agreements and relationships; the
estimated markets for our product candidates and the acceptance
thereof by any market; risks relating to the results of research
and development activities; risks associated with developing
Mino-Wrap, including that preclinical results may not be predictive
of clinical results and our ability to file an IND; uncertainties
relating to preclinical and clinical testing; the early stage of
products under development; risks related to our growth strategy;
our ability to identify, acquire, close and integrate product
candidates and companies successfully and on a timely basis; our
ability to attract, integrate, and retain key personnel; our need
for substantial additional funds; government regulation; patent and
intellectual property matters; competition; as well as other risks
described in our SEC filings. We expressly disclaim any obligation
or undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in our expectations or any changes in events, conditions or
circumstances on which any such statement is based, except as
required by law.
Contact:
Andrew Scott
Vice President, Corporate Development
(O) 908-967-6677 x105
ascott@citiuspharma.com
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SOURCE Citius Pharmaceuticals, Inc.