Aquestive Therapeutics Sells Subsidiary MonoSol Rx

TL;DR

Aquestive selling off MonoSol Rx to focus on its main drugs. Big Q2 2024 close.

AI Summary

Aquestive Therapeutics, Inc. announced on April 22, 2024, that it has entered into a definitive agreement to sell its subsidiary, MonoSol Rx, Inc., to an undisclosed buyer. The transaction is expected to close in the second quarter of 2024 and is subject to customary closing conditions. This divestiture is part of Aquestive's strategy to focus on its core pharmaceutical products.

Why It Matters

This divestiture allows Aquestive Therapeutics to streamline its operations and concentrate resources on its primary pharmaceutical development pipeline, potentially accelerating the path to market for its key drug candidates.

Risk Assessment

Risk Level: medium — The sale of a subsidiary introduces execution risk, and the financial impact on Aquestive Therapeutics will depend on the final sale price and how effectively they redeploy the capital.

Key Players & Entities

• Aquestive Therapeutics, Inc. (company) — Registrant
• MonoSol Rx, Inc. (company) — Subsidiary being sold
• April 22, 2024 (date) — Date of report and announcement
• second quarter of 2024 (date) — Expected closing period for the transaction

FAQ

Key Financial Figures

• $0.001 — ich registered Common Stock, par value $0.001 per share AQST Nasdaq Global Market I
• $4.50 — Stock"), at a public offering price of $4.50 per share. In addition, under the Under
• $77.5 m — pany from the Offering to approximately $77.5 million, before deducting underwriting co

Filing Documents

• aqst-20240422.htm (8-K) — 27KB
• 0001628280-24-017112.txt ( ) — 147KB
• aqst-20240422.xsd (EX-101.SCH) — 2KB
• aqst-20240422_lab.xml (EX-101.LAB) — 21KB
• aqst-20240422_pre.xml (EX-101.PRE) — 12KB
• aqst-20240422_htm.xml (XML) — 3KB

01

Item 8.01 Other Events As previously announced on March 19, 2024, Aquestive Therapeutics, Inc. (the "Company") entered into an underwriting agreement (the "Underwriting Agreement") by and among the Company and the underwriters named therein (the "Underwriters"), pursuant to which the Company issued and sold, in an underwritten public offering completed on March 22, 2024, 16,666,667 shares of the Company's common stock, par value $0.001 per share (the "Common Stock"), at a public offering price of $4.50 per share. In addition, under the Underwriting Agreement, the Company granted the Underwriters a 30-day option to purchase up to an additional 2,500,000 shares of Common Stock at the public offering price, less underwriting discounts and commissions. On April 22, 2024, the Underwriters purchased 559,801 shares of Common Stock to cover over-allotments in the Offering, bringing the total gross proceeds to the Company from the Offering to approximately $77.5 million, before deducting underwriting commissions and other offering expenses payable by the Company. All of the shares of Common Stock sold in the Offering, including the over-allotment shares, were offered by the Company. Leerink Partners and Piper Sandler acted as joint bookrunning managers for the Offering. Oppenheimer & Co. acted as lead manager for the Offering. H.C. Wainwright & Co. and Brookline Capital Markets, a division of Arcadia Securities, LLC, acted as financial advisors to the Company. The securities were offered by the Company pursuant to a Registration Statement on Form S-3 (File No. 333-254775) previously filed with the U.S. Securities and Exchange Commission (the "SEC") and declared effective by the SEC on April 5, 2021. A final prospectus supplement and accompanying prospectus relating to the Offering was filed with the SEC on March 21, 2024 and is available on the SEC's website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the Off

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