Assure Holdings Corp. Prices $6.2 Million Underwritten Public Offering of Common Stock

Rhea-AI Summary

Assure Holdings Corp. (NASDAQ: IONM) has announced a public offering with expected gross proceeds of approximately $6.2 million, priced at $1.12 per share for 5,576,087 shares. The funds will be allocated for general corporate purposes, including debt repayment and working capital. Aegis Capital Corp. is managing the offering, which closes on August 24, 2022. An option for underwriters to purchase an additional 15% of shares could increase proceeds to $7.2 million. This offering follows an effective registration with the SEC.

Positive

• Intended use of proceeds for debt repayment and working capital could improve financial health.

Negative

• Dilution risk to existing shareholders due to the new share issuance.

DENVER, Aug. 22, 2022 (GLOBE NEWSWIRE) -- Assure Holdings Corp. (NASDAQ: IONM) ("Assure Holdings" or the "Company"), a provider of intraoperative neuromonitoring (“IONM”) and remote neurology services, today announced the pricing of an underwritten public offering with gross proceeds to the Company expected to be approximately $6.2 million, before deducting underwriting discounts and other estimated expenses payable by the Company. The offering equates to 5,576,087 shares at a price to the public of $1.12 per share. The Company intends to use the net proceeds from this offering for general corporate purposes, including, but not limited to, repayment of indebtedness and increasing working capital expenditures.

In addition, the Company granted the underwriters a 45-day option to purchase additional shares of common stock or pre-funded warrants, representing up to 15% of the number of the securities offered in the base deal, solely to cover over-allotments, if any, which would increase the total gross proceeds of the offering to approximately $7.2 million, if the over-allotment option is exercised in full.

The offering is expected to close on August 24, 2022, subject to the satisfaction of customary closing conditions.

Aegis Capital Corp. is acting as the sole book-running manager for the offering

This offering is being made pursuant to an effective shelf registration statement on Form S-3 (No. 333-266730) previously filed with the U.S. Securities and Exchange Commission (the "SEC") and declared effective by the SEC on August 17, 2022. A final prospectus supplement and accompanying prospectus (collectively, the "Prospectus") describing the terms of the proposed offering will be filed with the SEC and will be available on the SEC's website located at http://www.sec.gov. Electronic copies of the Prospectus may be obtained, when available, by contacting Aegis Capital Corp., Attention: Syndicate Department, 1345 Avenue of the Americas, 27th floor, New York, NY 10105, by email at syndicate@aegiscap.com, or by telephone at (212) 813-1010. Before investing in this offering, interested parties should read in their entirety the Prospectus and the other documents that the Company has filed with the SEC that are incorporated by reference in such Prospectus, which provide more information about the Company and such offering.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sales of the securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Assure Holdings
Assure Holdings Corp. is a provider of outsourced intraoperative neuromonitoring and remote neurology services. The Company delivers a turnkey suite of clinical and operational services to support surgeons and medical facilities during invasive procedures that place the nervous system at risk including neurosurgery, spine, cardiovascular, orthopedic and ear, nose and throat surgeries. Assure Holdings employs highly trained technologists that provide a direct point of contact in the operating room. Physicians employed through Assure Holdings subsidiaries simultaneously monitor the functional integrity of patients’ neural structures throughout the procedure communicating in real-time with the surgeon and technologist. Accredited by The Joint Commission, Assure Holdings’s mission is to provide exceptional surgical care and a positive patient experience.

Forward-Looking Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set in the Company's SEC filings. These risks and uncertainties could cause the Company's actual results to differ materially from those indicated in the forward-looking statements.

Contact
Scott Kozak, Investor and Media Relations
Assure Holdings Corp.
(720) 617-2526
Scott.Kozak@assureiom.com

 

FAQ

What are the details of Assure Holdings' public offering?

Assure Holdings announced a public offering of approximately 5,576,087 shares at $1.12 per share, aiming for gross proceeds of $6.2 million.

What is the purpose of the funds raised from the IONM offering?

The net proceeds will be used for general corporate purposes, including repayment of debt and increasing working capital.

When will the Assure Holdings offering close?

The offering is expected to close on August 24, 2022, subject to customary closing conditions.

Is there a possibility of additional shares in the IONM offering?

Yes, underwriters have a 45-day option to purchase up to 15% more shares to cover over-allotments.