Full Press Release Details
Onconetix Announces Closing of Warrant
Exercise for $1.11 Million Gross Proceeds
CINCINNATI, July 15, 2024 (GLOBE NEWSWIRE) --
Onconetix, Inc. ("Onconetix" or the "Company") (Nasdaq: ONCO), today announced the closing of the previously announced
exercise of certain existing warrants to purchase 7,458,642 shares of its common stock having exercise prices ranging from $1.09 to $2.546
per share, at a reduced exercise price of $0.15 per share. The aggregate gross proceeds from the exercise of the existing warrants were
approximately $1.11 million, before deducting placement agent fees and other offering expenses payable by the Company.
H.C. Wainwright acted as the exclusive placement
agent for this transaction.
The Company expects to use the net proceeds from
the transaction for working capital and general corporate purposes.
The shares of common stock issued upon exercise
of the existing warrants are registered pursuant to an existing registration statement on a Form S-1 (File No. 333-277066), declared effective
by the Securities and Exchange Commission (the "SEC") on July 1, 2024.
In consideration for the immediate exercise of
the existing warrants for cash, the Company issued new unregistered warrants to purchase up to an aggregate of 22,375,926 shares of common
stock in a private placement pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended (the "1933 Act"). The shares
of common stock issuable upon exercise of the new warrants are subject to stockholder approval and the new warrants will become exercisable
on the effective date of the stockholder approval. The new warrants have an exercise price of $0.15 per share. One-third of the new warrants
have a term of exercise equal to five years from the date of stockholder approval, and the remaining two-thirds have a term of exercise
equal to twenty-four months from the date of stockholder approval.
The new warrants offered in the private placement
have not been registered under the 1933 Act, or applicable under state
securities laws. Accordingly, the new warrants and shares of common
stock issuable upon the exercise of the new warrants may not be offered or sold in the United States except pursuant to an effective registration
statement or an applicable exemption from the registration requirements of the 1933 Act and such applicable state securities laws. As
part of the offering, the Company has agreed to file a resale registration statement on Form S-3 with the SEC as soon as practicable to
register the resale of the shares of common stock issuable upon the exercise of the new warrants issued in the private placement.
This press release does not constitute an offer
to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such
About Onconetix, Inc.
Onconetix, Inc. is a commercial-stage biotechnology
company focused on the research, development, and commercialization of innovative solutions for men's health and oncology. Through
its recent acquisition of Proteomedix AG ("Proteomedix"), the Company owns Proclarix, an in vitro diagnostic test for prostate
cancer originally developed by Proteomedix and approved for sale in the European Union under the In Vitro Diagnostic Regulation, which
the Company anticipates will be marketed in the U.S. as a lab developed test through its license agreement with Labcorp. The Company also
owns ENTADFI, an FDA-approved, once daily pill that combines finasteride and tadalafil for the treatment of benign prostatic hyperplasia,
a disorder of the prostate.
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release are forward-looking
within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of forward-looking
words such as "anticipate," "believe," "forecast," "estimate," "expect," and
"intend," among others. These forward-looking statements (including, without limitation, statements regarding the receipt
of stockholder approval, the intended use of proceeds from the offering, and the anticipated results of the Company's sales and
marketing efforts for its commercial stage products as described herein) are based on Onconetix's current expectations and actual
results could differ materially. There are a number of factors that could cause actual events to differ materially from those indicated
by such forward-looking statements. These factors include, but are not limited to, market and other conditions; risks related to Onconetix's
ability to commercialize or monetize ENTADFI and Proclarix and integrate the assets and commercial operations acquired in the share exchange
with Proteomedix; risks related to the Company's present need for capital to commercially launch the Company's acquired products
and have adequate working capital; risks related to Onconetix's ability to attract, hire and retain skilled personnel necessary
to commercialize and operate the company's commercial products; the failure to obtain and maintain the necessary regulatory approvals
to market and commercialize Onconetix's products; risks related to the Company's ability to obtain and maintain intellectual
property protection for its current products; and the Company's reliance on third parties, including manufacturers and logistics
companies. As with any commercial-stage pharmaceutical product or any product candidate under clinical development, there are significant
risks in the development, regulatory approval and commercialization of biotechnology products. Onconetix does not undertake an obligation
to update or revise any forward-looking statement. Investors should read the risk factors set forth in Blue Water's Annual Report
on Form 10-K, filed with the SEC on April 11, 2024 and periodic reports filed with the SEC on or after the date thereof. All of Onconetix's
forward-looking statements are expressly qualified by all such risk factors and other cautionary statements. The information set forth
herein speaks only as of the date thereof.
Investor Contact Information:
Onconetix Investor Relations
Email: investors@onconetix.com