ANN ARBOR–Endra Life Sciences Inc., a medical device startup developing novel ultrasound imaging techniques for medical diagnostics, announced that it has priced an underwritten public offering of 3,750,000 shares of its common stock and warrants to purchase 1,875,000 shares of its common stock.
The warrants are being sold at the rate of one warrant for every two shares of common stock and will be exercisable at a price per share of $1.40. The public offering price for each set of two shares of common stock and accompanying warrant to purchase one share of common stock is $2.41 per set of securities, yielding an effective price of $1.20 per share and 1 cent per warrant, for net proceeds of approximately $3.9 million after deducting the estimated underwriting discounts and commissions and estimated offering expenses.
All of the securities in the underwritten public offering were sold by Endra. The company has granted the underwriter a 30-day option to purchase additional shares of common stock and warrants to purchase shares of its common stock sold in the offering solely to cover over-allotments.
The warrants will not be listed on any securities exchange or other nationally recognized trading system. The offering is expected to close on May 2,. Endra intends to use the proceeds for working capital and other general corporate purposes, which may include funding product development, submission for regulatory approvals of its products, and commercialization activities.
The common stock and warrants to purchase common stock were offered by Endra pursuant to a registration statement (File No. 333-271003) previously filed with and subsequently declared effective by the Securities and Exchange Commission. A preliminary prospectus supplement relating to the offering has been filed with the SEC and is available on the SEC’s website at http://www.sec.gov. A final prospectus supplement describing the terms of the offering will filed with the SEC.
Endra is developing Thermo Acoustic Enhanced UltraSound (TAEUS), a ground-breaking technology being developed to visualize tissue like MRI, but at 1/50th the cost and at the point of patient care. Taeus is designed to work in concert with the more than 700,000 ultrasound systems in use globally today. Taeus is initially focused on the measurement of fat in the liver as a means to assess and monitor Non-Alcoholic Fatty Liver Disease (NAFLD) and Non-Alcoholic Steatohepatitis (NASH), chronic liver conditions that affect over two billion people globally, and for which there are no practical diagnostic tools. Beyond the liver, Endra is exploring several other clinical applications of TAEUS, including visualization of tissue temperature during energy-based surgical procedures. For more information, visit www.endrainc.com.