Yield10 Bioscience Announces Closing of $4.0 Million Public Offering, Including Exercise of the Over-Allotment Option, and Concurrent $1.7 Million Private Placement

Rhea-AI Summary

Yield10 Bioscience (Nasdaq: YTEN) announced the closing of an underwritten public offering of 835,000 shares at $4.25 each, generating gross proceeds of approximately $4.0 million. Maxim Group LLC exercised an over-allotment option for an additional 116,835 shares. Concurrently, existing investor Jack W. Schuler's affiliates purchased 396,450 shares in a private placement for around $1.7 million. The offering was executed under an effective shelf registration filed with the SEC. Proceeds will support Yield10's innovations in sustainable agriculture.

Positive

• Successfully raised approximately $4.0 million from public offering.
• Raised an additional $1.7 million from private placement with existing investors.
• Funds will support sustainable agricultural innovations and trait developments.

Negative

• Dilution of existing shareholders due to additional shares issued.

WOBURN, Mass., Aug. 26, 2020 (GLOBE NEWSWIRE) -- Yield10 Bioscience, Inc. (Nasdaq: YTEN), an agricultural bioscience company, today announced the closing of its previously announced underwritten public offering of 835,000 shares of its common stock at a public offering price of $4.25 per share.  In addition, Maxim Group LLC has exercised its over-allotment option to purchase 116,835 shares of common stock, at the public offering price less underwriting discounts. Gross proceeds before deducting underwriting discounts and commissions and other offering expenses are approximately $4.0 million, inclusive of the over-allotment. Concurrent with the public offering, investors affiliated with existing investor Jack W. Schuler purchased 396,450 shares of Yield10’s common stock pursuant to a securities purchase agreement at the same price per share as in the public offering, in a separate private placement transaction.  The gross proceeds from the private placement were approximately $1.7 million. All shares in the public offering and private placement were sold by Yield10.

Maxim Group LLC acted as the sole book-running manager for the public offering.

The public offering was made pursuant to an effective shelf registration statement on Form S-3 that was filed with the U.S. Securities and Exchange Commission (SEC) on April 1, 2020 and declared effective on April 10, 2020.  A final prospectus supplement describing the terms of the public offering has been filed with the SEC and will form a part of the effective registration statement. Copies of the final prospectus supplement and accompanying prospectus relating to the public offering may be obtained by contacting Maxim Group LLC, 405 Lexington Avenue, 2nd Floor, New York, NY 10174, or by telephone at (212) 895-3745.

The shares sold in the private placement have not been and will not be registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration with the SEC or an applicable exemption from such registration requirements.

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 the registration or qualification under the securities laws of any such state or jurisdiction.

About Yield10 Bioscience

Yield10 Bioscience, Inc. is an agricultural bioscience company developing crop innovations for sustainable global food security. The Company uses its “Trait Factory” including the “GRAIN” big data mining trait gene discovery tool as well as the Camelina oilseed “Fast Field Testing” system to develop high value seed traits for the agriculture and food industries. As a path toward commercialization of novel traits, Yield10 is pursuing a partnering approach with major agricultural companies to drive new traits into development for canola, soybean, corn, and other commercial crops. The Company is also developing improved Camelina varieties as a platform crop for the production and commercialization of nutritional oils, proteins, and PHA biomaterials. The Company’s expertise in oilseed crops also extends into canola, where it is currently field-testing novel yield traits to generate data to drive additional licensing opportunities. Yield10 is headquartered in Woburn, MA and has an Oilseeds Center of Excellence in Saskatoon, Canada.

For more information about the company, please visit www.yield10bio.com, or follow the Company on Twitter, Facebook and LinkedIn.

(YTEN-G)

Contacts: 
Yield10 Bioscience:
ynne H. Brum, (617) 682-4693, LBrum@yield10bio.com

Investor Relations: 
Bret Shapiro, (561) 479-8566, brets@coreir.com
Managing Director, CORE IR

Media Inquiries:
Eric Fischgrund, eric@fischtankpr.com
FischTank PR

FAQ

What were the details of Yield10 Bioscience's public offering on August 26, 2020?

Yield10 Bioscience closed an underwritten public offering of 835,000 shares at $4.25 per share, raising approximately $4.0 million in gross proceeds.

What is the total amount raised in Yield10's public offering and private placement?

The total amount raised is approximately $5.7 million, consisting of $4.0 million from the public offering and $1.7 million from the private placement.

Who managed the public offering for Yield10 Bioscience?

Maxim Group LLC acted as the sole book-running manager for the public offering.

What is the impact of the public offering on Yield10 Bioscience shareholders?

The public offering may lead to dilution of existing shareholders due to the issuance of additional shares.