Neuralstem announces US$2.1 million registered direct offering

KUALA LUMPUR, Oct 29 (Bernama) -- Neuralstem Inc has entered into definitive agreements with institutional investors for the purchase of 3,000,000 shares of its common stock, at a purchase price per share of US$0.70 (RM2.93), in a registered direct offering. (1US$ = RM4.18)

The biopharmaceutical company said in a statement, it has also agreed to issue to the investors unregistered warrants to purchase up to 3,000,000 shares of its common stock.

The warrants have an exercise price of US$0.75 (RM3.14) per share of common stock, will be exercisable commencing six months following the issuance date and will expire five and one-half years from the issuance date.

The closing of the offering is expected to take place on or about Oct 29, 2018 – subject to the satisfaction of customary closing conditions.

The gross proceeds to Neuralstem, before deducting placement agent fees and other offering expenses, are expected to be US$2.1 million (RM8.78 million).

Neuralstem intends to use the net proceeds from the offering to further its clinical and preclinical programs and for general working capital.

H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.

Neuralstem is a clinical-stage biopharmaceutical company, developing novel treatments for nervous system diseases of high unmet medical need. The company has two lead development candidates – NSI-566 and NSI-189.

-- BERNAMA