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Ocata Therapeutics Announces Pricing of $30 Million Offering of Common Stock and Warrants
1. Ocata Therapeutics Announces Pricing of $30 Million
Offering of Common Stock and Warrants
MARLBOROUGH, Mass.--(BUSINESS WIRE)--Ocata Therapeutics, Inc. (NASDAQ:OCAT), a clinical
stage biotechnology
company focused on the development and commercialization of Regenerative
Ophthalmology(TM), today announced the pricing of an underwritten offering
of 5,500,000 shares of its common stock together with accompanying
warrants to purchase an aggregate of 2,750,000 shares of common stock.
The combined offering price of each share of common stock and
accompanying warrant was $5.50. The gross proceeds to Ocata Therapeutics
from this offering are expected to be $30.25 million, before deducting
underwriting discounts and commissions and other estimated offering
expenses payable by Ocata Therapeutics. The warrants will be exercisable
at $7.48 per share, will be exercisable beginning on December 22, 2015
and will expire on December 22, 2020. The shares of common stock and
warrants are immediately separable and will be issued separately. Ocata
Therapeutics has granted the underwriters a 30-day option to purchase up
to an additional 825,000 shares of common stock and/or warrants to
purchase 412,500 shares of common stock to cover over-allotments, if
any. Ocata Therapeutics intends to use the net proceeds from the sale of
the offered securities to fund its clinical activities, including the
commencement of its Phase 2 AMD and pivotal SMD clinical trials, the
advancement of its pre-clinical studies in other ocular indications and
other programs, and for general corporate purposes, which may include,
but are not limited to, working capital, potential business development
activities, ongoing research and development activities, funding
2. regulatory approval application processes, and capital expenditures.
All of the shares and accompanying warrants in the offering are to be
sold by Ocata Therapeutics. The offering is expected to close on or
about June 22, 2015, subject to the satisfaction of customary closing
conditions. Additional details regarding the offering will be included
in a Form 8-K filed by Ocata Therapeutics with the Securities and
Exchange Commission.
Jefferies LLC and Cowen and Company, LLC are acting as joint bookrunners
for the offering. Raymond James Associates, Inc. is acting as
co-manager for the offering.
The securities described above are being offered pursuant to a shelf
registration statement (File No. 333-199311), which was declared
effective by the United States Securities and Exchange Commission
("SEC") on November 14, 2014. A final prospectus supplement relating to
the offering will be filed with the SEC and will be available on the
SEC's web site at www.sec.gov.
When available, copies of the final prospectus supplement and
accompanying prospectus may be obtained by contacting Jefferies LLC, 520
Madison Avenue, 12th Floor, New York, NY 10022, Attention:
Prospectus Department, or by email to prospectus_department@jefferies.com;
or Cowen and Company, LLC, c/o Broadridge Financial Services, Attention:
Prospectus Department, 1155 Long Island Avenue, Edgewood, NY 11717, by
telephone at (631) 274-2806, or by fax at (631) 254-7140.
3. This press release shall not constitute an
offer to sell or the
solicitation Stock report of an offer to buy
these securities, nor shall there be any
sale of these securities in any jurisdiction in
which such offer,
solicitation or sale would be unlawful prior to
the registration or
qualification under the securities laws of any
such jurisdiction.
About Ocata Therapeutics, Inc.
Ocata Therapeutics, Inc. is a biotechnology company focused on the
development and commercialization of novel therapies based on terminally
differentiated cells.
Forward-Looking Information is Subject to Risk and Uncertainty
Certain of the statements made in this press release are forward
looking, such as those, among others, relating to Ocata Therapeutics'
expectations regarding the completion of the offering. Actual results or
developments may differ materially from those projected or implied in
these forward-looking statements. Factors that may cause such a
difference include, without limitation, risks and uncertainties related
to market and other conditions, the satisfaction of customary closing
conditions related to Stock report the offering and the impact of general economic,
industry or political conditions in the United States or
internationally. There can be no assurance that Ocata Therapeutics will
be able to complete the offering on the anticipated terms, or at all.
Additional risks and uncertainties relating to Ocata Therapeutics and
4. its business can be found in Ocata Therapeutics' periodic reports,
including its Annual Report on Form 10-K for the fiscal year ended
December 31, 2014 and its Quarterly Report on Form 10-Q for the fiscal
quarter ended March 31, 2015. You should not place undue reliance on
these forward-looking statements, which apply only as of the date of
this press release. Forward-looking statements are based on the beliefs,
opinions, and expectations of Ocata's management at the time they are
made, and Ocata Therapeutics does not assume any obligation to update
its forward-looking statements if those beliefs, opinions, expectations,
or other circumstances should change.