Phoenix Biotech Acquisition Corp. Announces Completion of $175,000,000 Initial Public Offering, Including Exercise of Over-Allotment Option

Rhea-AI Summary

Phoenix Biotech Acquisition Corp. (NASDAQ:PBAXU) announced the successful completion of its initial public offering on October 6, 2021. The company raised $175 million by issuing 17.5 million units, including 2 million units from the underwriters’ over-allotment option. Each unit comprises one share of Class A common stock and a half warrant, with each whole warrant exercise priced at $11.50. The company's Class A shares will trade under the symbol PBAX, while the warrants will be listed as PBAXW. Cantor Fitzgerald & Co. acted as the sole book-running manager for the offering.

Positive

• Raised $175 million from the IPO, indicating strong investor interest.
• Units began trading on Nasdaq, enhancing market visibility.
• The completion of the offering allows for potential strategic acquisitions in the biotech sector.

Negative

• The stock may face dilution risk if warrants are exercised.
• Forward-looking statements indicate uncertainties regarding future performance.

Oakland, CA, Oct. 08, 2021 (GLOBE NEWSWIRE) -- Phoenix Biotech Acquisition Corp. (NASDAQ:PBAXU) (the “Company”), a blank-check company formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses, today announced the completion of its initial public offering of 17,500,000 units at a price of $10.00 per unit, which includes 2,000,000 units issued pursuant to the exercise of the underwriters’ over-allotment option, for gross proceeds to the Company of $175,000,000. The Company's units began trading on The Nasdaq Global Market (“Nasdaq”) under the symbol "PBAXU" on October 6, 2021. Each unit issued in the offering consists of one share of the Company’s Class A common stock and one-half of one warrant, with each whole warrant exercisable for one share of Class A common stock at an exercise price of $11.50 per share. Once the securities comprising the units begin separate trading, the Class A common stock and warrants are expected to be listed on Nasdaq under the symbols “PBAX” and “PBAXW,” respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade.

Cantor Fitzgerald & Co. served as the sole book-running manager for the offering. 

A registration statement relating to the units and the underlying securities was declared effective by the Securities and Exchange Commission on October 5, 2021. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these 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.

The offering was made by means of a prospectus, copies of which may be obtained by contacting Cantor Fitzgerald & Co., Attention: Capital Markets, 499 Park Avenue, 5th Floor, New York, New York 10022; Email: prospectus@cantor.com. Copies of the registration statement can be accessed for free through the SEC's website at www.sec.gov.

This press release contains statements that constitute “forward-looking statements,” including with respect to the initial public offering. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company's registration statement and prospectus for the offering filed with the Securities and Exchange Commission. The Company undertakes no obligation to update these statements for revisions or changes after the date of this press release, except as required by law.

Contact Information:

Chris Ehrlich
chrisbehrlich@gmail.com

FAQ

What was the purpose of Phoenix Biotech Acquisition Corp.'s IPO?

The IPO aimed to raise capital for potential mergers and acquisitions within the biotech sector.

When did Phoenix Biotech Acquisition Corp. start trading on Nasdaq?

The company's units began trading on Nasdaq under the symbol PBAXU on October 6, 2021.

What are the symbols for Phoenix Biotech's Class A common stock and warrants?

Class A common stock trades under the symbol PBAX, and the warrants are listed as PBAXW.

How much did Phoenix Biotech Acquisition Corp. raise in its IPO?

The company raised a total of $175 million during its initial public offering.

What are the key components of the units offered by Phoenix Biotech?

Each unit consists of one share of Class A common stock and one-half of one warrant.