Full Press Release Details
Wave BioPharma Announces Exercise of Warrants and Issuance of New Warrants in a Private Placement for $2.4 Million Gross Proceeds Priced
Fla., June 13, 2023 (GLOBE NEWSWIRE) -- First Wave BioPharma, Inc. ("First Wave BioPharma" or the "Company")
(NASDAQ: FWBI), a clinical-stage biopharmaceutical company specializing in the development of targeted, non-systemic therapies for gastrointestinal
(GI) diseases, today announced it has entered into agreements with certain holders of its existing warrants exercisable for 1,681,667
shares of its common stock, in the aggregate, to exercise their warrants at a reduced exercise price of $1.15 per share, in exchange
for new warrants as described below. The aggregate gross proceeds from the exercise of the existing warrants is expected to total approximately
$2.4 million, before deducting financial advisory fees. The reduction in the exercise price of the existing warrants and the issuance
of the new warrants was structured as an at-market transaction under Nasdaq rules.
Partners is acting as the Company's financial advisor for this transaction.
of common stock issuable upon exercise of the warrants are registered pursuant to a registration statement on Form S-1 (File No. 333-267423)
which was declared by the Securities and Exchange Commission (SEC) on October 6, 2022 and a registration statement on Form S-3
(File No. 333-268660) which was declared effective by the SEC on December 8, 2022.
for the immediate exercise of the warrants for cash and the payment of $0.125 per share underlying the new warrants, the exercising holders
will receive new warrants to purchase 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 new warrants will be exercisable into an aggregate of up to 3,363,354 shares
of common stock, at an exercise price of $1.15 per share and have a term of exercise equal to five years. The securities offered in the
private placement have not been registered under the Securities Act of 1933, as amended, or applicable under state securities laws. Accordingly,
the securities 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 Securities Act and such applicable state securities laws. As part of the transaction,
the Company has agreed to file a resale registration statement on Form S-3 with the Securities and Exchange Commission within 10
days of the closing to register the resale of the shares of common stock underlying the new warrants issued in the private placement.
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 jurisdiction.
About First Wave BioPharma, Inc.
First Wave BioPharma is a clinical-stage
biopharmaceutical company specializing in the development of targeted, non-systemic therapies for gastrointestinal (GI) diseases. The
Company is currently advancing a therapeutic development pipeline with multiple clinical stage programs built around its two proprietary
technologies - the biologic adrulipase, a recombinant lipase enzyme designed to enable the digestion of fats and other nutrients,
and niclosamide, an oral small molecule with anti-inflammatory properties. First Wave is advancing two Phase 2 clinical programs built
around adrulipase for the treatment of exocrine pancreatic insufficiency (FW-EPI) in patients with cystic fibrosis (CF) and chronic pancreatitis
(CP). In developing adrulipase, First Wave is seeking to provide CF and CP patients with a safe and effective therapy to control EPI
that is non-animal derived and offers the potential to dramatically reduce their daily pill burden. The company is also advancing multiple
programs involving niclosamide, including FW-UP for ulcerative proctitis and ulcerative proctosigmoiditis, FW-UC for ulcerative colitis,
and FW-CD for Crohn's disease. First Wave BioPharma is headquartered in Boca Raton, Florida. For more information visit www.firstwavebio.com.
Forward-Looking Statement
may contain certain statements relating to future results which are forward-looking statements. It is possible that the Company's
actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated
in these forward-looking statements, depending on factors including whether results obtained in preclinical and nonclinical studies and
clinical trials will be indicative of results obtained in future clinical trials; whether preliminary or interim results from a clinical
trial will be indicative of the final results of the trial; whether the Company will be able to maintain compliance with Nasdaq's
continued listing criteria and the effect of a delisting from Nasdaq on the market for the Company's securities; the size of the
potential markets for the Company's drug candidates and its ability to service those markets; the effects of the First Wave Bio, Inc.
acquisition, the related settlement and their effect on the Company's business, operating results and financial prospects; and
the Company's current and future capital requirements and its ability to raise additional funds to satisfy its capital needs. Additional
information concerning the Company and its business, including a discussion of factors that could materially affect the Company's
financial results are contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2022 under
the heading "Risk Factors," as well as the Company's subsequent filings with the Securities and Exchange Commission.
All forward-looking statements included in this press release are made only as of the date of this press release, and we do not undertake
any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur
or of which we hereafter become aware.
For more information:
First Wave BioPharma, Inc.
777 Yamato Road, Suite 502
Boca Raton, FL 33431
Phone: (561) 589-7020