Aditxt (NASDAQ:ADTX) shares are plummeting in the opening session today after the biotech company entered into definitive agreements related to the purchase and sale of one million common shares (or pre-funded warrants in lieu of) at $10 per share.
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The private placement is priced at the market and includes accompanying warrants. In this placement, each share or the pre-funded warrant is offered along with the accompanying warrants to acquire one common share of Aditxt at an exercise price of $10 per share.
These warrants can be exercised immediately upon issuance and are set to expire in five and one-half years from the date of issuance. The placement is expected to rake in $10 million in gross proceeds and is anticipated to close on or about September 5. Aditxt plans to use the net proceeds raised for working capital as well as other general corporate needs.
With today’s 32% price erosion, Aditxt shares have now tanked nearly 87% over the past year.
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