Delcath (NSDQ:DCTH) today priced a $1.28 million public offering of stock, with funding slated to support clinical trials and commercialization efforts.
The New York-based company said it plans to float 425,000 shares of its common stock at $3 per share. Investors in the round will also receive 0.35 warrants to purchase an additional share of common stock at $3 per share for up to 5 years.
Delcath expects to close the offering on October 5, 2016, according to a press release.
Funds from the round are expected to support general corporate purposes including clinical trial funding, product commercialization, regulatory approvals, research, capital expenditures and working capital, the company said.
Roth Capital Partners is acting as manager for the offering.
In June, Delcath said it inked a securities purchase agreement with an investor for $35 million in senior convertible notes and stock purchase warrants, expecting to bring in $32.2 million to support operations and ongoing clinical trials.
Of the $32.2 million in proceeds, Delcath said $3 million will be immediately available, with the remaining $29.2 million subject to a cash covenant restricting it and requiring it be held by control accounts of the company.
