Statera Biopharma Announces Closing of $2.0 Million Registered Direct Offering

Rhea-AI Summary

Statera Biopharma (NASDAQ: STAB) has successfully closed a registered direct offering, raising $2.0 million by selling approximately 2.0 million shares of its common stock along with warrants. Each warrant, exercisable at $1.00 per share and valid for five years, accompanies a share sold at the same price. The funds raised will support general corporate purposes, including critical studies for pediatric Crohn’s disease and acute COVID-19. EF Hutton was the sole placement agent for this offering.

Positive

• Raised $2.0 million to advance clinical studies.
• Funds allocated for Phase 3 pediatric Crohn’s study and acute COVID study.

Negative

• Potential dilution of shares from the issuance of new common stock and warrants.

FORT COLLINS, Colo., Feb. 09, 2022 (GLOBE NEWSWIRE) -- Statera Biopharma, Inc. (NASDAQ: STAB) (the “Company” or “Statera Biopharma”), a leading biopharmaceutical company creating next-generation immune therapies that focus on immune restoration and homeostasis, today announced the closing of its previously announced registered direct offering with a certain institutional investor, pursuant to which the Company sold $2.0 million worth of its common stock and warrants.

Under the terms of the securities purchase agreement, the Company sold approximately 2.0 million shares of its common stock and warrants to purchase approximately 2.0 million shares of common stock. The warrants will be exercisable immediately, have an exercise price of $1.00 per share, and will expire five years from the initial exercise date. The purchase price for one share of common stock and one warrant was $1.00.

This financing will be used for general corporate purposes, including the Company’s Phase 3 pediatric Crohn’s study, its acute COVID study, as well as other development activities.

EF Hutton, division of Benchmark Investments, LLC, acted as exclusive placement agent for the offering. Bridgeway Capital Partners acted as the Company’s financial advisor.

Anthony L.G., PLLC acted as legal counsel to Statera Biopharma, Inc. and Carmel, Milazzo & Feil LLP acted as legal counsel to EF Hutton for the offering.

The securities described above were offered by the Company pursuant to an effective "shelf" registration statement on Form S-3 (File No. 333-238578) filed with the Securities and Exchange Commission (SEC) and declared effective by the SEC on May 29, 2020, and the accompanying prospectus contained therein.

The offering was made only by means of a prospectus supplement and accompanying prospectus. The final prospectus supplement and accompanying base prospectus relating to the securities being offered in the registered direct offering were filed with the SEC on February 7, 2022.

Copies of the prospectus supplement and the accompanying prospectus relating to this offering can be obtained on the SEC’s website at http://www.sec.gov or by contacting EF Hutton, division of Benchmark Investments, LLC Attention: Syndicate Department, 590 Madison Avenue, 39th Floor, New York, NY 10022, by email at syndicate@efhuttongroup.com, or by telephone at (212) 404-7002.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, 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.

About Statera Biopharma

Statera Biopharma (formerly Cytocom, Inc.) is a clinical-stage biopharmaceutical company developing novel immunotherapies targeting autoimmune, neutropenia/anemia, emerging viruses and cancers based on a proprietary platform designed to rebalance the body’s immune system and restore homeostasis. Statera has one of the largest platforms of toll-like receptor (TLR) agonists in the biopharmaceutical industry with TLR4 and TLR9 antagonists, and the TLR5 agonists, Entolimod and GP532. TLRs are a class of protein that plays a key role in the innate immune system. Statera is developing therapies designed to directly elicit within patients a robust and durable response of antigen-specific killer T-cells and antibodies, thereby activating essential immune defenses against autoimmune, inflammatory, infectious diseases, and cancers. Statera has clinical or preclinical programs for Crohn’s disease (STAT-201), hematology (Entolimod), pancreatic cancer (STAT-401) and COVID-19 (STAT-205) in addition to potential expansion into fibromyalgia and multiple sclerosis. To learn more about Statera Biopharma, please visit www.staterabiopharma.com.

Forward Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties. All statements other than statements of current or historical fact contained in this press release, including statements regarding the Company’s expected clinical development timeline for the Company’s product candidates, future financial position, business strategy, new products, budgets, liquidity, cash flows, projected costs, regulatory approvals, the impact of any laws or regulations applicable to the Company, and plans and objectives of management for future operations, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “should,” “estimate,” “expect,” “intend,” “may,” “plan,” “project,” “will,” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements on the current expectations about future events held by management. While we believe these expectations are reasonable, such forward-looking statements are inherently subject to risks and uncertainties, many of which are beyond the Company’s control. The Company’s actual future results may differ materially from those discussed here for various reasons. The Company discusses many of these risks under the heading “Risk Factors” in the proxy statement/prospectus filed with the SEC on June 10, 2021, as updated by the Company’s other filings with the SEC.

Given these uncertainties, you should not place undue reliance on these forward-looking statements. The forward-looking statements included in this press release are made only as of the date hereof. We do not undertake any obligation to update any such statements or to publicly announce the results of any revisions to any of such statements to reflect future events or developments.

Contacts:
Statera Biopharma
Nichol Ochsner
Executive V.P. Investor Relations and Corporate Communications
(732) 754-2545
nichol.ochsner@staterabiopharma.com

FINN Partners
Glenn Silver (Media)
(973) 818-8198
glenn.silver@finnpartners.com

FINN Partners
David Carey (IR)
(212) 867-1768
David.carey@finnpartners.com

FAQ

What was the purpose of Statera Biopharma's recent offering?

The offering aimed to raise $2.0 million for general corporate purposes, including funding for key clinical studies.

When was Statera Biopharma's offering announced?

The offering was announced on February 9, 2022.

What is the exercise price for the warrants issued in the offering?

The warrants have an exercise price of $1.00 per share.

How many shares were sold in Statera Biopharma's offering?

Approximately 2.0 million shares of common stock were sold.

Who acted as the placement agent for Statera Biopharma's offering?

EF Hutton, division of Benchmark Investments, LLC, acted as the exclusive placement agent.