Summary by Moomoo AI
Virax Biolabs has entered into a securities purchase agreement with institutional investors for a registered direct offering of 1,108,892 ordinary shares at $4.50 per share, expecting to raise approximately $5 million in gross proceeds. The offering is scheduled to close around August 23, 2024, subject to customary closing conditions.H.C. Wainwright & Co. serves as the exclusive placement agent, receiving a 7% cash fee, 1% management fee, and warrants to purchase 77,622 ordinary shares at $5.625 per share. The warrants have a five-year term from the offering's commencement. The company will also reimburse the placement agent for expenses totaling $85,000.The proceeds will be used for working capital and general corporate purposes. Concurrent with this offering, Virax has suspended its existing ATM facility with H.C. Wainwright & Co., though the ATM Agreement remains in effect. The offering is made under the company's shelf registration statement, which became effective on December 15, 2023.
