On January 2, 2020 OncoCyte Corporation (NYSE American: OCX), a molecular diagnostics company with a mission to provide actionable answers at critical decision points across the lung cancer care continuum, reported that the Company has entered into definitive agreements with Pura Vida Investments, LLC, a fundamentally driven, healthcare focused registered investment advisor, and another institutional investor, to purchase approximately $7.6 million of its common shares in a registered offering (Press release, Oncocyte, JAN 2, 2020, View Source [SID1234552729]). This offering was completed directly with these institutional investors and the Company incurred no placement agent fees.
Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:
Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing
Schedule Your 30 min Free Demo!
"The fact that we have increased our strong support from Pura Vida Investments, a top-tier, healthcare fund, we believe is testimony to our strategy and ability to execute," said Ron Andrews, Chief Executive Officer of OncoCyte. " Strengthening our balance sheet through smaller offerings priced at market, allows us to remain flexible from a strategic perspective while rapidly progressing our commercialization efforts and market preparation for the first quarter 2020 launch of our Razor Genomics’ treatment stratification test. This financing leaves us well positioned to continue the advancement and expansion of our suite of impactful tests for underserved decision points in the lung cancer care continuum."
In connection with the offering, the Company will sell an aggregate of 3,523,776 common shares at a purchase price of $2.156 per share, the average closing price over the five trading days prior to the execution of the agreement with the investors. The registered offering is subject to customary closing conditions and is expected to close during the week of January 6, 2020.
Proceeds from the registered offering provide the strategic capital to accelerate and support the commercial launch of OncoCyte’s lung cancer treatment stratification test, continued development of DetermaVu and general corporate and working capital purposes. The Company may also use proceeds to invest in or acquire businesses or technologies that it believes are complementary, although the Company has no binding agreements with respect to any strategic transactions or acquisitions as of the date of this press release.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any offer, solicitation or sale of these securities in any state or other jurisdiction in which such an offer, solicitation or sale would be unlawful.