Honigman Advises BioXcel Therapeutics on $8 Million Registered Direct Offering

Honigman recently advised BioXcel Therapeutics, Inc., a biopharmaceutical company, in connection with a securities purchase agreement with an institutional investor for a registered direct offering of 4,500,785 shares of common stock (or common stock equivalents in lieu thereof) and accompanying warrants to purchase up to 4,500,785 shares of common stock, at a combined offering price of $1.739 per share (or common stock equivalent) and accompanying warrant. The accompanying warrants have an exercise price of $1.614 per share and expire five years from the date of issuance.

In connection with the transaction, the Company also agreed to reduce the exercise price of previously issued warrants held by the investor to purchase up to 1,385,083 shares of common stock to $1.614 per share and extend their expiration dates to the five-year anniversary of the closing of the offering. Gross proceeds to the Company were approximately $8.0 million, before deducting placement agent fees and offering expenses.

The Honigman team was led by Corporate Partners N. Danny Shulman and Michael J. Rosenberg, with support from Associate Isaac Pasha.