Aytu BioScience announces $12M public offering

Friday March 2, 2018 0 comments Tags: Englewood, Aytu BioScience

ENGLEWOOD -- Aytu BioScience, Inc. (NASDAQ: AYTU), a specialty life sciences company focused on global commercialization of novel products in the field of urology, today announced the pricing of an underwritten public offering with expected total gross proceeds of $12 million.Aytu_logoUSE

That figure is before deductions of underwriting discounts, commissions and other offering expenses payable by the company, Aytu said.

The securities offered by Aytu consist of (i) Class A Units consisting of an aggregate of 19,520,000 shares of common stock and warrants to purchase an aggregate of 19,520,000 shares of common stock, at a public offering price of $0.45 per Class A Unit, and (ii) Class B Units consisting of 3,216 shares of Series B convertible preferred stock, with a stated value of $1,000, and convertible into an aggregate of 7,146,667 shares of common stock, and warrants to purchase an aggregate of 7,146,667 shares of common stock, at a public offering price of $1,000 per Class B Unit.

Aytu said the warrants will have an exercise price of $0.54, will be exercisable upon issuance and will expire five years from the date of issuance. Aytu has granted the underwriters a 45-day option to purchase additional shares of common stock and/or additional warrants to purchase shares of common stock, in amounts up to 15% of the common stock issued as part of the Class A Units and issuable upon the conversion of the Series B Preferred included in the Class B Units sold in the offering and/or 15% of the warrants sold in the offering.

The offering is expected to close on March 6 subject to satisfaction of customary closing conditions.

Aytu said it intends to use net proceeds from the offering for sales and marketing expenses to further advance the commercialization of Natesto®, and for working capital and general corporate purposes.

Joseph Gunnar & Co., LLC is acting as sole book-running manager for the offering and Fordham Financial Management, Inc. is acting as lead manager for the offering.

The Securities and Exchange Commission ("SEC") declared effective a registration statement on Form S-1 relating to these securities on March 1, 2018.

A final prospectus relating to this offering will be filed with the SEC. The offering is being made only by means of a prospectus.

Copies of the prospectus relating to the offering may be obtained, when available, by contacting Joseph Gunnar & Co., LLC, Prospectus Department, 30 Broad Street, 11th Floor, New York, NY 10004, 212-440-9600, [email protected]

Investors may also obtain these documents at no cost by visiting the SEC's website at http://www.sec.gov.