WESTPORT - BioSig Technologies, Inc. (NASDAQ: NASDAQ:BSGM), a medical technology company specializing in intracardiac signal visualization, today disclosed definitive agreements for a registered direct offering and concurrent private placement. The company is set to issue and sell approximately 1.57 million shares of common stock at a price of $1.91 per share.
Alongside the stock offering, BioSig will issue unregistered warrants for the purchase of an equivalent number of shares at an exercise price of $1.78 per share, exercisable immediately upon issuance and expiring five years from the date of issuance.
The transactions are expected to close today, with customary closing conditions. H.C. Wainwright & Co. is serving as the exclusive placement agent for the offering. The gross proceeds from the offering are anticipated to be around $3 million, before accounting for placement agent fees and other related expenses.
BioSig plans to allocate the net proceeds from this offering towards working capital and general corporate purposes. The company's ongoing efforts are directed at improving procedural efficiency and efficacy in cardiac ablation procedures through their FDA 510(k) cleared PURE EP™ Platform.
The shares in this offering are available under a shelf registration statement filed with the Securities and Exchange Commission (SEC), which became effective on January 12, 2021. Prospective investors can obtain copies of the final prospectus supplement and accompanying prospectus by contacting H.C. Wainwright & Co.
The offering's unregistered warrants and the shares underlying them have not been registered under the Securities Act of 1933 and will be subject to restrictions on resale in the United States. This announcement does not constitute an offer to sell or a solicitation of an offer to buy any securities, and the sale of these securities in any jurisdiction where such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction is prohibited.
This news is based on a press release statement from BioSig Technologies, Inc.
InvestingPro Insights
As BioSig Technologies, Inc. (NASDAQ: BSGM) advances with its latest capital raising initiative, insights from InvestingPro reveal a nuanced financial landscape for the company. With a market capitalization of approximately $26.88 million, the company's financial health and stock performance metrics offer investors a deeper look into its valuation and market sentiment.
InvestingPro data shows a striking 47.24% one-week total return on the company's stock price, reflecting significant investor interest in the short term, possibly in reaction to the recent funding news. However, this must be juxtaposed with a year-to-date price total return of -49.47%, indicating volatility and a challenging longer-term performance.
Moreover, the company's revenue for the last twelve months as of Q1 2024 stands at a mere $0.03 million, with a dramatic revenue growth decline of -90.46%. These figures suggest that while the stock has seen recent gains, the company's financial performance remains under pressure.
InvestingPro Tips for BioSig Technologies highlight the stock's current status in overbought territory according to the Relative Strength Index (RSI), which may indicate a pullback in the near future. Moreover, analysts anticipate a sales decline in the current year, which could weigh on the company's future performance. Investors considering this stock should be aware of these dynamics, as well as the fact that BioSig is a niche player in the medical technology industry, operating with a moderate level of debt and without providing dividends to shareholders.
For those looking for more comprehensive analysis and additional InvestingPro Tips, there are 14 more tips available on BioSig Technologies at Investing.com/pro/BSGM. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking further insights that can inform investment decisions.
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