Citius Oncology announces pricing of $9M registered direct offering

Citius Oncology (CTOR), the oncology-focused subsidiary of Citius Pharmaceuticals (CTXR), announced that it has entered into a securities purchase agreement with a single institutional investor to purchase 5,142,858 shares of common stock in a registered direct offering. In a concurrent private placement, the company also agreed to issue unregistered warrants to purchase up to an aggregate of 5,142,858 shares of common stock. The combined effective offering price for each share of common stock and accompanying warrant is $1.75. The warrants will have an exercise price of $1.84 per share, will be exercisable six months from the date of issuance, and will expire on the five and one-half year anniversary from the date of issuance. The gross proceeds to the company from the registered direct offering and concurrent private placement are estimated to be approximately $9M before deducting placement agent fees and other estimated offering expenses payable by the company. The offering is expected to close on or about September 10, subject to the satisfaction of customary closing conditions. Maxim Group is acting as sole placement agent in connection with the offering.