Aethlon Medical Inc. (NASDAQ: AEMD) plunged 36.05% after announcing the signing of a definitive agreement with an institutional investor to acquire 1,380,555 of its common shares in a registered direct offering at $9 per share priced at-the-market.
Aethlon closes a $12 million direct offering.
The company anticipates closing the direct offering on or around June 14, 2021, subject to meeting customary closing conditions. Gross proceeds will be around $12.425 million before deduction of offering expenses and payment fee. The company will utilize the net proceeds as working capital and for general corporate uses.
Aethlon is offering the shares of common stock according to Form S-3 “shelf” registration statement initially filed on March 19, 2020, and declared valid by the SEC on March 30, 2020, and the basic prospectus included therein. Accordingly, the company is only offering common stock shares through a prospectus supplement that is a component of the registration statement. The SEC will receive a final prospectus supplement and supporting base prospectus for the shares of common stock being sold. Once available, electronic copies of the final prospectus supplement and accompanying base prospectus will be available on the SEC’s website.
Aethlon completes the sale of 626,000 shares.
Aethlon also revealed that on June 9, 2021, it sold 626,000 shares in the open market through its at-the-market Offering Agreement with H.C. Wainwright & Co., LLC. The sale was in accordance with the company’s shelf registration statement on Form S-3 (Registration Statement No. 333-237269), initially filed with the SEC and declared effective on March 30, 2020. In addition, the company will also issue approximately 1.12 million shares of common stock to warrant holders on June 9, 2021, as a result of the exercise of outstanding warrants.
The company recently published positive results of two cases of COVID-19 patients who received treatment with its Hemopurifier.