Histogen Secures $6.5M Via Direct Equity Offering - Histogen (OTC:HSTO)

Histogen Inc HSTO has raised $6.5 million from institutional investors by selling around 5.9 million shares at $1.10 per share in a registered direct offering priced at the market. HSTO's last closing price on Monday was $1.08.
Concurrently, the company will also issue unregistered warrants to purchase up to an aggregate of 4.8 million shares.
The offering is expected to close by June 9.
H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.
The warrants have an exercise price of $1.00 per share, will be exercisable immediately upon issuance, and will expire in five and one-half years from the date of issuance.
The gross proceeds of approximately $6.5 million will be used for working capital and general corporate purposes.
Last week, HSTO decided to suspend the development of the HST 001 program in androgenic alopecia instead focus on orthopedic indication programs.
Price Action: HSTO shares are down 8.33% at $0.99 during the premarket session on the last check Tuesday.