MORRISVILLE, N.C., March 26, 2020 (GLOBE NEWSWIRE) -- Novan, Inc. ("the Company" or "Novan") (NASDAQ:NOVN) today announced the closing of the Company’s previously announced registered direct offering priced at-the-market under Nasdaq rules with several institutional and accredited investors of 18,604,652 shares of its common stock (or pre-funded warrants to purchase common stock in lieu thereof) at an effective purchase price of $0.43 per share (or pre-funded warrant).
H.C. Wainwright & Co. acted as the exclusive placement agent for the offering.
The gross proceeds to Novan from this offering are approximately $8.0 million, before deducting the placement agent's fees and other offering expenses payable by Novan. Novan intends to use the net proceeds from the offering to fund its research and development programs and for general working capital purposes and other operating expenses.
The offering was made by Novan pursuant to a shelf registration statement (Registration No. 333-220761) filed by Novan with the Securities and Exchange Commission (“SEC”) that became effective on October 10, 2017. The offering was made only by means of a prospectus supplement and accompanying prospectus. A prospectus supplement and accompanying prospectus relating to the registered direct offering were filed with the SEC and may be obtained for free on the SEC’s website located at http://www.sec.gov. Electronic copies of the prospectus supplement and accompanying prospectus relating to the offering may be obtained by contacting H.C. Wainwright & Co., LLC, 430 Park Avenue, 3rd Floor, New York, NY 10022, or by telephone at (646) 975-6996, or by email to email@example.com.
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 state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
Novan, Inc. is a clinical development-stage biotechnology company focused on leveraging nitric oxide’s naturally occurring anti-microbial and immunomodulatory mechanisms of action to treat a range of diseases with significant unmet needs. We believe that our ability to deploy nitric oxide in a solid form, on demand and in localized formulations allows us the potential to improve patient outcomes in a variety of dermatology, women’s health and gastrointestinal diseases.
This press release contains forward-looking statements including, but not limited to, statements related to pharmaceutical development of nitric oxide-releasing product candidates and our intention to advance development of certain product candidates and statements regarding the anticipated use of proceeds from the offering. Forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from our expectations, including, but not limited to, risks and uncertainties associated with market conditions, as well as the risks and uncertainties described in our annual report filed with the SEC on Form 10-K for the twelve months ended December 31, 2019, and in our subsequent filings with the SEC. These forward-looking statements speak only as of the date of this press release, and Novan disclaims any intent or obligation to update these forward-looking statements to reflect events or circumstances after the date of such statements, except as may be required by law.
(Investors & Media)
Director, Investor Relations, Communications & Business Development
Source: Novan, Inc.