Full Press Release Details
| Contact: | |
| 350 Hills Street, Suite 106 | Dwight Babcock |
| Richland, WA 99354 | Chairman & CEO |
| www.isoray.com | 509-375-1202 |
| dbabcock@isoray.com |
Inc. Announces Underwritten Offering
Richland, WA (August 28, 2013) -
IsoRay, Inc. (NYSE MKT: ISR), specializing in the development, manufacture, and sale of isotope-based medical products and
devices for the treatment of cancer and other malignant diseases primarily in the United States, today announced the pricing of
an underwritten offering of units of its common shares, convertible preferred shares and short-term "greenshoe" warrants.
Gross proceeds in connection with the offering amount to approximately $3.8 million. The offering is being anchored by a healthcare
focused institutional investor. The offering is expected to close on or before August 30.
In connection with offering, the Company
will be issuing approximately 3.8 million shares of common stock at a price of $0.55 per share and shares of preferred stock convertible
into 3.1 million shares common stock with a conversion price of $0.55. The Company will also be issuing "greenshoe"
warrants to purchase 5.6 million shares of common stock. The greenshoe warrants shall have a term of 18 months, have an exercise
price equal to the offering price, and will be exercisable six months after closing of the offering. Additional funding of approximately
$3.1 million will occur if all warrants are exercised for cash.
Maxim Group LLC is acting as Sole Book
Runner in connection with the offering. The offering is expected to close on or before August 30, 2013.
A shelf registration
statement relating to the public offering of the securities described above has been filed
with, and declared effective by, the Securities and Exchange Commission ("SEC"). A prospectus supplement relating to
the offering will be filed with the SEC and will be available on the SEC's website at http://www.sec.gov.
When available, copies of the prospectus supplement and the accompanying base prospectus relating
to these securities may also be obtained from Maxim Group LLC, 405 Lexington Avenue, 2nd Floor, New York, NY 10174 or via telephone
at (800) 724-0761. Before you invest, you should read the prospectus supplement and the accompanying base prospectus and other
documents IsoRay has filed or will file with the SEC for more complete information about IsoRay and the offering.
This press release shall 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 jurisdiction.
IsoRay, Inc., through its subsidiary, IsoRay
Medical, Inc., is the sole producer of Cesium-131 brachytherapy seeds, which are expanding brachytherapy options throughout the
body. Learn more about this innovative Richland, Washington company and explore the many benefits and uses of Cesium-131 by visiting
Safe Harbor Statement
Statements in this news release about IsoRay's
future expectations, including statements regarding the completion of IsoRay's proposed sale of common stock, preferred stock
and warrants and the use of proceeds from that sale, and the advantages and uses of our products, and all other statements in this
release, other than historical facts, are "forward-looking statements" within the meaning of the Private Securities Litigation
Reform Act of 1995 ("PSLRA"). This statement is included for the express purpose of availing IsoRay, Inc. of the protections
of the safe harbor provisions of the PSLRA. There can be no assurance regarding the completion, timing or size of the proposed
offering. It is important to note that actual results and ultimate corporate actions could differ materially from those in such
forward-looking statements based on such factors as the market for IsoRay's common stock, market conditions, the satisfaction
of customary closing conditions related to the proposed public offering, physician acceptance, training and use of our products,
our ability to successfully manufacture, market and sell our products, our ability to manufacture our products in sufficient quantities
to meet demand within required delivery time periods while meeting our quality control standards, our ability to enforce our intellectual
property rights, whether ongoing patient results with Cesium-131 are favorable and in line with the conclusions of clinical studies
and initial patient results, whether we, our distributors and our customers will successfully obtain and maintain all required
regulatory approvals and licenses to market, sell and use Cesium-131 in its various forms, successful completion of future research
and development activities, and other risks detailed from time to time in IsoRay's reports filed with the SEC.