Dogwood announces financing of up to $26.8M

Dogwood (DWTX) Therapeutics has entered into a securities purchase agreement with a single healthcare-focused institutional investor for up to approximately $12.5 million in gross proceeds through a registered direct offering and a concurrent private placement for the issuance of an aggregate of 4,386,037 shares of common stock, together with warrants to purchase up to an aggregate of 4,386,037 shares of common stock, priced at-the-market under Nasdaq rules. Each share of common stock is being sold together with one warrant to purchase one share of common stock at a combined purchase price of $2.85. The warrants will have an exercise price of $3.28 per share. The warrants will be exercisable upon shareholder approval, and will expire five and one-half years from the effective date of shareholder approval. Upfront gross proceeds from the Offerings are expected to be $12.5 million, before deducting commissions and offering expenses, with the potential for an additional $14.4 million in gross proceeds upon the exercise of the warrants at the election of investors and subject to shareholder approval. The Registered Offering consists of the issuance and sale of 2,338,948 shares of common stock, and the Private Offering consists of the issuance and sale of pre-funded warrants to purchase 2,047,089 shares of common stock and warrants to purchase up to 4,386,037 shares of common stock. Maxim Group LLC is acting as the sole placement agent for the Offerings.