LifeMD Announces Pricing of Public Offering of Common Stock

Rhea-AI Summary

LifeMD, Inc. (NASDAQ: LFMD) has priced an underwritten public offering of 3,333,334 shares of common stock at $6.00 per share, aiming for gross proceeds of about $20 million. The offering includes a 30-day option for underwriters to purchase an additional 500,000 shares. The funds will be utilized to reduce debt and support working capital, including expenses for acquiring new patients and capital expenditures. The offering is expected to close on October 4, 2021, following customary conditions.

Positive

• Gross proceeds aimed at $20 million to reduce debt and fund operations.
• Proceeds intended for new patient customer acquisition and capital expenditures.

Negative

• Potential dilution of shares with the public offering.
• Market reactions may negatively impact stock performance post-offering.

NEW YORK, Sept. 29, 2021 (GLOBE NEWSWIRE) -- LifeMD, Inc. (the “Company”) (NASDAQ: LFMD), a leading direct-to-patient telehealth company, today announced the pricing of its previously announced underwritten registered public offering of 3,333,334 shares of its common stock, par value $0.01 per share, for gross proceeds of approximately $20 million at a public offering price of $6.00 per share of common stock, prior to deducting underwriting discounts and commissions and estimated offering expenses. In connection with this offering, the Company has granted the underwriters a 30-day option to purchase 500,000 additional shares of common stock at the public offering price, less underwriting discounts and commissions. The offering is expected to close on October 4, 2021, subject to customary closing conditions.

The Company intends to use the net proceeds from this offering to repay a portion of its indebtedness and the remaining net proceeds for working capital and general corporate purposes including, but not limited to, new patient customer acquisition expenses and capital expenditures. 

B. Riley Securities, Inc. 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. 333-256911) and preliminary prospectus supplement filed with the U.S. Securities and Exchange Commission (the “SEC”). The preliminary prospectus supplement relating to the offering will be available on the SEC’s website located at http://www.sec.gov. Copies of the preliminary prospectus supplement and the accompanying prospectus, when available, may also be obtained from B. Riley Securities, Inc. You should direct any requests to B. Riley Securities, Inc., Attention: Prospectus Department, 1300 17th Street North, Suite 1300, Arlington, Virginia 22209, by telephone at (703) 312-9580 or by email at prospectuses@brileyfin.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities being offered, nor shall there be any sale of the securities being offered in any state or other 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 other jurisdiction.

About LifeMD

LifeMD, Inc. is a rapidly growing direct-to-patient, telehealth company, offering cash-pay virtual medical care across all 50 states. LifeMD’s telemedicine platform enables virtual access to affordable and convenient medical treatment from licensed providers and, when appropriate, prescription medications and over-the-counter products delivered directly to the patient’s home. To learn more, visit www.LifeMD.com

Cautionary Note Regarding Forward Looking Statements

This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended; Section 21E of the Securities Exchange Act of 1934, as amended; and the safe harbor provision of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this news release may be identified by the use of words such as: “believe,” “expect,” “anticipate,” “project,” “should,” “plan,” “will,” “may,” “intend,” “estimate,” predict,” “continue,” and “potential,” or, in each case, their negative or other variations or comparable terminology referencing future periods. Examples of forward-looking statements include, but are not limited to, statements regarding our financial outlook and guidance, short and long-term business performance and operations, future revenues and earnings, regulatory developments, legal events or outcomes, ability to comply with complex and evolving regulations, market conditions and trends, new or expanded products and offerings, growth strategies, underlying assumptions, and the effects of any of the foregoing on our future results of operations or financial condition.

Forward-looking statements are not historical facts and are not assurances of future performance. Rather, these statements are based on our current expectations, beliefs, and assumptions regarding future plans and strategies, projections, anticipated and unanticipated events and trends, the economy, and other future conditions, including the impact of any of the aforementioned on our future business. As forward-looking statements relate to the future, they are subject to inherent risk, uncertainties, and changes in circumstances and assumptions that are difficult to predict, including some of which are out of our control. Consequently, our actual results, performance, and financial condition may differ materially from those indicated in the forward-looking statements. These risks and uncertainties include, but are not limited to, “Risk Factors” identified in our filings with the Securities and Exchange Commission, including, but not limited to, our most recently filed Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and any amendments thereto. Even if our actual results, performance, or financial condition are consistent with forward-looking statements contained in such filings, they may not be indicative of our actual results, performance, or financial condition in subsequent periods.

Any forward-looking statement made in the news release is based on information currently available to us as of the date on which this release is made. We undertake no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as may be required under applicable law or regulation. 

Company Contact
LifeMD, Inc.
Marc Benathen, CFO
Email Contact

Investor Relations Contact
Ashley Robinson
LifeSci Advisors, LLC
arr@lifesciadvisors.com

FAQ

What is the stock offering size for LifeMD, Inc.?

LifeMD, Inc. has announced a public offering of 3,333,334 shares at $6.00 each, targeting gross proceeds of approximately $20 million.

What will the proceeds from the LifeMD, Inc. offering be used for?

The proceeds will be used to repay a portion of indebtedness, working capital, and expenses related to acquiring new patients.

When will the LifeMD, Inc. offering close?

The offering is expected to close on October 4, 2021, subject to customary closing conditions.

Is there an option for underwriters in the LifeMD, Inc. offering?

Yes, underwriters have a 30-day option to purchase an additional 500,000 shares at the public offering price.

What is the public offering price for LifeMD, Inc.'s shares?

The public offering price for LifeMD, Inc.'s shares is set at $6.00 per share.