Azitra Inc. (NYSE:AZTR) shares are trending on Friday.
AZTR surged 44.24% in after-hours trading on Thursday to $0.25.
The clinical-stage company announced a securities purchase agreement with healthcare-focused institutional investors for gross proceeds of up to $31.4 million.
What is the Deal Structure?
According to Azitra, the SPA includes initial gross proceeds of approximately $10.5 million, with up to an additional $20.9 million tied to potential warrant exercises.
Azitra stated that investors, including Stonepine Capital, Nantahala Capital and company insiders such as the company’s CEO, are buying Series A convertible preferred stock at $1,000 per share, along with Series B and C warrants exercisable at $0.123 per share of common stock.
The transaction is expected to close on or around Friday, Azitra noted.
Azitra said it will use initial net proceeds for research and development, general corporate expenses and working capital …
