Marathon Patent Group Announces Closing of $6.9 Million Underwritten Public Offering of Common Stock and Full Exercise of Option to Purchase Additional Shares

Rhea-AI Summary

Marathon Patent Group (Nasdaq: MARA) announced the closing of its public offering of 7,666,666 shares of common stock at $0.90 per share, raising approximately $6.9 million before expenses. The underwriter, H.C. Wainwright & Co., exercised an option for an additional 999,999 shares. This offering was registered under the SEC and finalized with a prospectus submitted on July 27, 2020. The company warns that forward-looking statements in the release are subject to risks that may cause actual results to differ from expectations.

Positive

• Raised approximately $6.9 million from the public offering.
• The offering included the exercise of an option for additional shares.
• Managed by a reputable underwriter, H.C. Wainwright & Co.

Negative

• Dilution risk for existing shareholders due to the issuance of new shares.

LAS VEGAS, July 28, 2020 (GLOBE NEWSWIRE) -- Marathon Patent Group, Inc. (Nasdaq:MARA) (“Marathon” or “Company”) today announced the closing of its previously announced underwritten public offering of 7,666,666 shares of common stock, including the exercise in full by the underwriter of the option to purchase an additional 999,999 shares of common stock, at a public offering price of $0.90 per share.  The gross proceeds of this offering, before deducting underwriting discounts and commissions and other offering expenses payable by Marathon, are approximately $6.9 million.

H.C. Wainwright & Co. acted as the sole book-running manager for the offering.

The shares described above were offered by Marathon pursuant to a registration statement on Form S-1 (File No. 333-239534) previously filed with and declared effective by the Securities and Exchange Commission (SEC) on July 23, 2020 and an additional registration statement on Form S-1 filed pursuant to Rule 462(b) (File No. 333-240062) which became automatically effective on July 23, 2020. The offering was made only by means of a prospectus forming part of the effective registration statement. The final prospectus relating to the offering was filed with the SEC on July 27, 2020 and may be obtained by contacting H.C. Wainwright & Co., LLC, 430 Park Avenue, 3rd Floor, New York, NY 10022, by calling (646) 975-6996 or by emailing placements@hcwco.com.

This press release shall not constitute an offer to sell or a 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.

Forward-Looking Statements

Statements made in this press release include 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. Forward-looking statements can be identified by the use of words such as “may,” “will,” “plan,” “should,” “expect,” “anticipate,” “estimate,” “continue,” or comparable terminology. Such forward-looking statements are inherently subject to certain risks, trends and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate and involve factors that may cause actual results to differ materially from those projected or suggested. Readers are cautioned not to place undue reliance on these forward-looking statements and are advised to consider the factors listed above together with the additional factors under the heading “Risk Factors” in the Company’s Annual Reports on Form 10-K, as may be supplemented or amended by the Company’s Quarterly Reports on Form 10-Q. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise.

Name: Jason Assad
Phone: 678-570-6791
Email: Jason@marathonpg.com

FAQ

What are the details of Marathon Patent Group's recent public offering?

Marathon Patent Group closed a public offering of 7,666,666 shares at $0.90 per share, netting approximately $6.9 million.

Who managed the public offering for Marathon Patent Group?

H.C. Wainwright & Co. acted as the sole book-running manager for the offering.

What is the impact of the new share issuance on existing shareholders of MARA?

The issuance of new shares may lead to dilution for existing shareholders.

When was the final prospectus for the public offering filed?

The final prospectus was filed with the SEC on July 27, 2020.

What should investors consider regarding forward-looking statements in the press release?

Investors should be aware that forward-looking statements involve risks that could lead to different actual outcomes.