Enveric Biosciences Inc.Announces Closing of $ 10 Million Registered Direct Placement
NAPLES, Florida, January 15, 2021 / PRNewswire / – Enveric Biosciences, Inc. (NASDAQ: ENVB) (“Enveric” or the “Company”), a patient-focused biotechnology company developing new cannabinoid drugs to improve the quality of life of cancer patients, today announced the closing of January 14, 2021, of his $ 10 million registered direct offer consisting of the purchase and sale of 2,221,358 common shares and equivalents of Enveric common shares, at a purchase price of $ 4.5018 per share. In addition, Enveric issued unregistered warrants to investors to acquire 1,666,019 common shares at $ 4.9519 per share, exercisable immediately and ending five years after the date of issue.
The net proceeds of the offering for Enveric after deducting financial advisory fees and other costs and expenses were approximately $ 9 million. Enveric intends to use the net proceeds of this offering for working capital and general corporate purposes.
Palladium Capital Group, LLC acted as financial advisor to the issuer.
The ordinary shares (but not the warrants or the ordinary shares underlying the warrants) were offered by Enveric in accordance with a “shelf” registration statement on Form S-3 (File No. 333-233260 ) previously filed with the Securities and Exchange Commission (the “SEC”) on August 14, 2019, and declared effective by the SEC on November 19, 2019. The offering of securities (other than warrants and ordinary shares subscribed to) underlying the warrants) has been made only by means of a prospectus, including a prospectus supplement, forming part of the actual registration statement. The final prospectus supplement and accompanying prospectus relating to the offered common shares have been filed with the SEC. Electronic copies of the final prospectus supplement and accompanying prospectus can be obtained from the SEC’s website at http://www.sec.gov.
The warrants described above were offered in a private placement pursuant to Section 4 (a) (2) of the Securities Act of 1933, as amended (the “Act”), and the Regulation D promulgated thereunder and, together with the common shares underlying the warrants, have not been registered under applicable State Securities Act or laws. Accordingly, the warrants and the underlying common shares 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 Act. and applicable state securities laws. Enveric has agreed to register the common shares issuable upon exercise of the warrants for resale in accordance with a customary registration rights agreement.
This press release does not constitute an offer to sell or a solicitation of an offer to buy such securities, and there will be no sale of such securities in any state or other jurisdiction in which such an offer, solicitation or sale would be illegal prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About Enveric Biosciences
Enveric Biosciences is a patient-focused biotechnology company developing new, rigorously tested cannabinoid drugs to improve the quality of life of cancer patients. Initial indications include radiodermatitis, a common and often serious side effect of radiation therapy, and chemotherapy-induced neuropathy. For more information, please visit https://www.enveric.com/.
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. Generally, forward-looking statements and information can be identified by the use of forward-looking terms such as “plans”, “expects” or “does not expect”, “proposed”, “is expected”, ” budgets “,” planned “,” estimates “,” foresees “,” intends “,” anticipates “or” does not anticipate “, or” believes “, or variations of these words and expressions, or by l ‘use of words or phrases that state that certain actions, events or results may, could, would or could occur or be achieved. Forward-looking statements consist of statements which are not purely historical, including statements concerning beliefs, plans, expectations or intentions regarding the future. These forward-looking statements are based on the beliefs of management as well as on the assumptions made by management and on information currently available to it. may differ materially from those contemplated by the forward-looking statements due to certain factors, including, but not limited to, the impact of the novel coronavirus (COVID-19) on ongoing and planned clinical trials of Enveric; the geographic, social and economic impact of COVID-19 on Enveric’s ability to conduct business and raise capital in the future when needed; delays in planned clinical trials; the ability to establish that potential products are effective or safe in preclinical or clinical trials; the ability to establish or maintain collaborations on the development of therapeutic candidates; the ability to obtain appropriate or necessary government approvals to market potential products; the ability to obtain future financing for development products and working capital and to obtain such financing on commercially reasonable terms; the ability of Enveric to manufacture product candidates on a commercial scale or in collaboration with third parties; changes in the size and nature of competitors; the ability to retain key leaders and scientists; and the ability to secure and enforce legal rights relating to Enveric products, including patent protection. A discussion of these and other factors, including the risks and uncertainties regarding Enveric, is set out in Enveric’s registration statement on Form S-4 filed on May 28, 2020, as amended. Enveric disclaims any intention or obligation to revise forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Valter pinto / Allison Soss
KCSA strategic communication
212.896.1254 / 212.896.1267
Caitlin kasunich / Raquel cona
KCSA strategic communication
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SOURCE Enveric Biosciences