BOSTON, Jan. 21, 2021 /PRNewswire/ -- NeuroBo
Pharmaceuticals, Inc. (Nasdaq: NRBO), a clinical-stage
biotechnology company, today announced the closing of its
previously announced private placement of an aggregate 2,500,000
shares of its common stock and warrants to purchase up to an
aggregate of 2,500,000 shares of its common stock. Each share
and corresponding warrant is being sold at an aggregate purchase
price of $4.00 for gross proceeds to
the Company of $10.0 million. The
warrants have an exercise price of $6.03 per share, are exercisable commencing six
months following the issuance date and have a term of five and
one-half years.
After deducting the placement agent's fees and other estimated
offering expenses to be paid by the Company, the Company received
net proceeds of approximately $9.2
million. The Company intends to use the net proceeds for
working capital, capital expenditures and general corporate
purposes.
H.C. Wainwright & Co. acted as the exclusive placement agent
for the offering.
The securities described above were offered in a private
placement under Section 4(a)(2) of the Securities Act of 1933, as
amended (the "Act"), and Regulation D promulgated thereunder and,
along with the shares of common stock underlying the warrants, have
not been registered under the Act or applicable state securities
laws. Accordingly, the shares of common stock, the warrants and
underlying shares of common stock may not be offered or sold in
the United States except pursuant
to an effective registration statement or an applicable exemption
from the registration requirements of the Act and such applicable
state securities laws.
Under an agreement with the investors, the Company is required
to file an initial registration statement with the Securities and
Exchange Commission covering the resale of the shares of common
stock to be issued to the investors no later than January 25, 2021 and to use its best efforts to
have the registration statement declared effective as promptly as
practical thereafter, and in any event no later than 90 days after
today in the event of a "full review" by the Securities and
Exchange Commission.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any securities, nor shall there be
any sale of the securities in any state in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of such state.
About NeuroBo Pharmaceuticals
NeuroBo Pharmaceuticals, Inc., a clinical-stage biotechnology
company focused on developing and commercializing multimodal,
disease-modifying therapies for neurodegenerative and
cardiometabolic diseases, has a current portfolio of four drug
candidates. The company's recently acquired ANA-001 candidate is a
proprietary oral niclosamide formulation in development as a
treatment for patients with moderate to severe COVID-19 (patients
not requiring ventilators). Niclosamide is a potential oral
antiviral and anti-inflammatory agent with a long history of use
and a well-understood safety profile in humans. ANA-001 is
currently being studied in a 60-subject Phase 2/3 clinical trial
conducted at up to 20 clinical sites in the U.S. Niclosamide has
demonstrated both antiviral and immunomodulatory activity with
possible downstream effects on coagulation abnormalities observed
in COVID-19. The company's NB-01 candidate has been shown in a
Phase 2 study to significantly reduce pain symptoms associated with
painful diabetic neuropathy (PDN), with a superior safety profile
when compared to currently available treatments. Due to global
COVID-19 crisis, a planned Phase 3 study was postponed. In the
interim, NeuroBo is exploring a potential orphan drug indication
targeting chronic pain for NB-01. NeuroBo's NB-02 drug candidate is
focused on the treatment of Alzheimer's disease and
neurodegenerative diseases associated with the pathological
dysfunction of tau proteins in the brain. In addition, the
Company's Gemcabene product candidate was developed for the
treatment of dyslipidemia, a serious medical condition that
increases the risk of life-threatening cardiovascular disease.
For more information
visit: https://www.neurobopharma.com.
Forward-looking Statements
Any statements in this press release that are not statements of
historical fact constitute forward-looking statements within the
meaning of The Private Securities Litigation Reform Act of 1995, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements include, but are not limited to, the
intended use of net proceeds from the private placement as well as
the development of NeuroBo's product candidates and the therapeutic
potential, timing and nature of clinical trials and potential
regulatory approval of NeuroBo's clinical programs and
pipeline. Forward-looking statements are usually identified by
the use of words, such as "believes," "anticipates," "expects,"
"intends," "plans," "may," "potential," "will," "could" and similar
expressions. Actual results may differ materially from those
indicated by forward-looking statements as a result of various
important factors and risks. These factors, risks and uncertainties
include, but are not limited to: the timing, size and completion of
the private placement, market and other conditions, the occurrence
of health epidemics or contagious diseases, such as COVID–19, and
potential effects on NeuroBo's business, clinical trial sites,
supply chain and manufacturing facilities; NeuroBo's ability to
continue as a going concern; the timing of completion of NeuroBo's
planned clinical trials; the timing of the availability of data
from NeuroBo's clinical trials; NeuroBo's plans to research,
develop and commercialize its current and future product
candidates, including with respect to ANA-001; NeuroBo's ability to
successfully collaborate with existing collaborators or enter into
new collaborations and to fulfill its obligations under any such
collaboration agreements; the clinical utility, potential benefits
and market acceptance of NeuroBo's product candidates; the impact
of government laws and regulations; NeuroBo's ability to protect
its intellectual property position; and NeuroBo's need for
additional financing to fulfill its stated goals; and other factors
discussed in the "Risk Factors" section of NeuroBo's Annual
Report on Form 10-K and in our other filings with the Securities
and Exchange Commission. In addition, the forward-looking
statements included in this press release represent NeuroBo's views
as of the date hereof. NeuroBo anticipates that subsequent events
and developments will cause its views to change. However, while
NeuroBo may elect to update these forward-looking statements at
some point in the future, NeuroBo specifically disclaims any
obligation to do so. These forward-looking statements should not be
relied upon as representing NeuroBo's views as of any date
subsequent to the date hereof.
Contacts:
Rx Communications Group
Michael Miller
+1-917-633-6086
mmiller@rxir.com
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SOURCE NeuroBo Pharmaceuticals, Inc.