Aptorum Group Limited (NASDAQ: APM) (“Aptorum Group”), a biopharmaceutical company focused on the development of novel therapeutics to address global unmet medical needs, today announced the pricing of a registered direct offering of 1,351,350 Class A ordinary shares and warrants to purchase 1,351,350 of its Class A ordinary shares at an exercise price of $7.40 per share. The combined purchase price for one Class A ordinary share and one warrant will be $7.40. The gross proceeds to Aptorum Group from the registered direct offering are expected to be approximately $10 million, before deducting the placement agents’ fees and other estimated offering expenses. Participation in the offering includes approximately $6 million from unaffiliated institutional investors and $4 million from Jurchen Investment Corporation, the largest shareholder of Aptorum Group, which is wholly owned by Ian Huen, the Chief Executive Officer and Executive Director of Aptorum Group. The offering is expected to close on February 28, 2020, subject to customary closing conditions.
Alliance Global Partners (“AGP”) is acting as lead placement agent and Maxim Group LLC is acting as a co-placement agent in connection with this offering.
Aptorum Group intends to use the net proceeds from the offering primarily to fund the continued research and development of our leading therapeutic candidates (including SACT-1 and ALS-4) into their respective clinical phases and also to expand our discovery and development pipeline of the Smart-ACTTM orphan diseases platform, as well as for working capital, and for general corporate purposes. We may also use a portion of the net proceeds to acquire or invest in technologies, products and/or businesses that we believe will enhance the value of our Company, although Aptorum Group has no current plans, commitments or agreements with respect to any such transactions or acquisitions as of the date hereof. Aptorum Group is pleased to have such US based institutional support and as our anchor investors to support our continued growth and expansion of our programs.
The securities described above are being offered by Aptorum Group pursuant to a shelf registration statement on Form F-3 filed with the Securities and Exchange Commission (SEC) dated January 6, 2020 and declared effective on January 15, 2020. A prospectus supplement related to the offering will be, filed with the SEC and available on the SEC’s website athttp://go.pardot.com/e/652223/2020-02-26/h36hm/402025962?h=8BZPvYeo6t21ffCMUnrA3gSnlwCYNbX773QW9y2AbcQ. Copies of the prospectus supplements relating to the offering may be obtained, when available, by contacting: Alliance Global Partners (AGP), Prospectus Department, 590 Madison Avenue, 36th Floor, New York, NY 10022, by telephone: at (212) 624-2060, or by facsimile at 212-624-2060.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such state or jurisdiction.
About Aptorum Group Limited
Aptorum Group Limited (Nasdaq: APM) is a pharmaceutical company dedicated to developing and commercializing novel therapeutics to tackle unmet medical needs. Aptorum Group is pursuing therapeutic projects in orphan diseases, infectious diseases, metabolic diseases and other disease areas.
This press release contains forward-looking statements. Forward-looking statements can be identified by words such as “believes,” “expects,” “estimates,” “intends,” “may,” “plans,” “will” and similar expressions, or the negative of these words. Such forward-looking statements are based on facts and conditions as they exist at the time such statements are made and predictions as to future facts and conditions. Forward-looking statements in this release include statements regarding the (i) use of funding proceeds, (ii) expansion of product distribution, (iii) acceleration of initiatives in liquid biopsy and SNP detection, (iv) use of the Company’s liquid biopsy tests by laboratories, (v) capital resources and runway needed to advance the Company’s products and markets, (vi) increased sales in the near-term, (vii) flexibility in managing the Company’s balance sheet, (viii) anticipation of business expansion, (ix) benefits in research and worldwide accessibility of the CoPrimer™ technology and its cost-saving and scientific advantages and (x) statements regarding the intended use of proceeds. Forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances. Actual results may differ materially from those contemplated or anticipated by such forward-looking statements. Readers of this press release are cautioned not to place undue reliance on any forward-looking statements. The Company does not undertake any obligation to update any forward-looking statement relating to matters discussed in this press release, except as may be required by applicable securities laws.