NovaBay Pharmaceuticals, Inc. (NYSE American: NBY) has announced the successful closing of its underwritten public offering, which included common stock, pre-funded warrants, and Series F-1, F-2, and F-3 warrants, raising approximately $3.87 million before underwriting discounts and expenses. This total includes proceeds from the partial exercise of the underwriter’s over-allotment option.
The offering comprised 1,158,566 shares of common stock, pre-funded warrants for up to 2,041,814 additional shares, and Series F-1, F-2, and F-3 warrants for up to 3,200,380 shares each. The combined public offering price was $1.10 per share of common stock with accompanying Series F-1, F-2, and F-3 warrants, and $1.09 per pre-funded warrant with the same series of warrants. At closing, the securities issued included 1,495,398 shares of common stock, pre-funded warrants for up to 2,041,814 shares, and Series F-1, F-2, and F-3 warrants for up to 3,537,212 shares each, following the partial exercise of the over-allotment option.
Ladenburg Thalmann & Co. Inc. served as the sole bookrunning manager for this offering.
Each common stock share (or pre-funded warrant) was sold with one Series F-1, F-2, and F-3 warrant. The Series F-1 and F-2 warrants have an exercise price of $1.10 per share, with Series F-1 warrants expiring in five years and Series F-2 warrants in six months. The Series F-3 warrants also have an exercise price of $1.10, but expire in one year. Pre-funded warrants are immediately exercisable at $0.01 per share until fully exercised. Each series of warrants features a one-time price reset to the lower of the current exercise price or 90% of the five-day volume-weighted average price calculated 60 days post-issuance.
NovaBay plans to use the net proceeds from this offering to redeem its Original Discount Senior Secured Convertible Debentures due November 1, 2024, and for general working capital and corporate purposes.
The offering was conducted under NovaBay’s registration statement on Form S-1 (File No. 333-280423), declared effective by the SEC on July 25, 2024.
This press release is for informational purposes only and does not constitute an offer or solicitation to buy or sell any securities, nor is it a sale of securities in jurisdictions where such an offer would be illegal prior to registration or qualification under applicable laws.
About NovaBay Pharmaceuticals, Inc.
NovaBay’s flagship product, Avenova® Antimicrobial Lid & Lash Solution, is frequently recommended by eye care professionals for treating blepharitis and dry eye disease. Manufactured in the U.S., Avenova features NovaBay’s patented, stable, and pure form of hypochlorous acid. Avenova products are available to consumers through online platforms like Amazon.com and Avenova.com.
