Movano announces $24M private placement

Movano Health has agreed to sell approximately 45M units in a $24M private placement, with each unit consisting of one share of the company’s common stock and one warrant to purchase a share of common stock, to a select group of investors that includes a tier-one multi-billion dollar medical device company, institutional and accredited investors, and members of the company’s management team and board of directors. Movano Health intends to use the net proceeds from the financing for working capital and general corporate purposes. The proceeds from this financing, combined with current cash, cash equivalents and marketable securities, are expected to be sufficient to fund the current operating plan well into 2025. The $24M private placement includes a $3M seed investment from the tier 1 medical device company and more than $3.6M from members of Movano Health’s management team and board of directors. Each unit includes one common share sold at a price of $0.4071, and one warrant priced at $0.125 to purchase one common share, for a unit price of $0.533. The warrants will have an exercise price of $0.4071 per share of common stock, will be immediately exercisable, and have a five year term. The pre-funded warrants will have an exercise price of $0.001 per share of common stock, will be immediately exercisable, and will remain exercisable until exercised in full. The financing is expected to close on April 4, 2024, subject to customary closing conditions. Movano Health anticipates the gross proceeds from the private placement to be approximately $24M, before deducting any offering-related expenses. The Benchmark Company, LLC acted as placement agent for the offering. The Liquid Venture Partners group at The Benchmark Company, LLC was responsible for sourcing and executing the offering. K&L Gates LLP represented the Company and Greenberg Traurig, LLP represented the placement agent in the transaction.