Avenue Therapeutics Closes $10M Public Offering

TL;DR

Avenue Therapeutics just closed a $10M stock offering at $4/share. Cash infusion!

AI Summary

On March 11, 2024, Avenue Therapeutics, Inc. announced the closing of its previously disclosed underwritten public offering. The company successfully raised approximately $10.0 million in gross proceeds before deducting underwriting discounts and commissions and other offering expenses. This offering involved the sale of 2,500,000 shares of common stock at a price of $4.00 per share.

Why It Matters

The successful completion of this offering provides Avenue Therapeutics with additional capital, which is crucial for funding its ongoing operations and potential future development activities.

Risk Assessment

Risk Level: medium — The company is still in the development stage, and the success of its drug candidates is not guaranteed, making it a speculative investment.

Key Numbers

• $10.0M — Gross Proceeds (Raised from the public offering)
• $4.00 — Price Per Share (Price at which shares were sold in the offering)
• 2,500,000 — Shares Sold (Number of shares issued in the offering)

Key Players & Entities

• Avenue Therapeutics, Inc. (company) — Registrant
• March 11, 2024 (date) — Closing date of the offering
• $10.0 million (dollar_amount) — Gross proceeds from the offering
• $4.00 (dollar_amount) — Price per share
• 2,500,000 (number) — Number of shares sold

FAQ

Key Financial Figures

• $1.00 — Company's common stock had closed below $1.00 per share for 30 consecutive business d

Filing Documents

• tm248839d1_8k.htm (8-K) — 29KB
• 0001104659-24-034774.txt ( ) — 200KB
• atxi-20240311.xsd (EX-101.SCH) — 3KB
• atxi-20240311_lab.xml (EX-101.LAB) — 33KB
• atxi-20240311_pre.xml (EX-101.PRE) — 22KB
• tm248839d1_8k_htm.xml (XML) — 4KB

01

Item 8.01 Other Events. As previously disclosed, on May 19, 2023, Avenue Therapeutics, Inc. (the " Company ") received a deficiency letter (the " First Letter ") from the Listing Qualifications Department (the " Staff ") of The Nasdaq Stock Market LLC (the " Nasdaq ") notifying the Company that it was not in compliance with Nasdaq Listing Rule 5550(b)(1), the minimum stockholders' equity requirement for continued listing on The Nasdaq Capital Market (the " Stockholders' Equity Requirement ") . The First Letter had no immediate effect on the Company's continued listing on The Nasdaq Capital Market. In accordance with Nasdaq rules, the Company was provided 45 calendar days, or until July 3, 2023, to submit a plan to regain compliance (the " Compliance Plan "). The Company thereafter submitted its Compliance Plan and, on July 17, 2023, the Staff granted the Company's request for an extension through November 15, 2023 to regain compliance with the Stockholders' Equity Requirement. The Company was unable to demonstrate compliance with the Stockholders' Equity Requirement by that date, and, on November 20, 2023, the Staff formally notified the Company that it would move to delist the Company's securities from Nasdaq unless the Company timely requested a hearing before the Nasdaq Hearings Panel (the " Panel "). The Company submitted the request for a hearing before the Panel (the " Hearing "), which request stayed any further action by Nasdaq pending completion of the Hearing and the expiration of any extension that may be granted by the Panel to the Company. Also as previously disclosed, on September 27, 2023, the Company received a second deficiency letter (the " Second Letter ") from the Staff stating that the bid price of the Company's common stock had closed below $1.00 per share for 30 consecutive business days and, as such, the Company was not in compliance with Nasdaq Listing Rule 5550(a)(2), the minimum bid price requirement for continued listing on The Nas

Forward-Looking Statements

Forward-Looking Statements This Current Report on Form 8-K contains predictive or "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of current or historical fact contained in this Current Report on Form 8-K, including statements that express our intentions, plans, objectives, beliefs, expectations, strategies, predictions or any other "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "will," "should," "would" and similar expressions are intended to identify forward-looking statements. These statements are based on current expectations, estimates and projections made by management about our business, our industry and other conditions affecting our financial condition, results of operations or business prospects. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in, or implied by, the forward-looking statements due to numerous risks and uncertainties. Factors that could cause such outcomes and results to differ include, but are not limited to, risks and uncertainties arising from: expectations for increases or decreases in expenses; expectations for the clinical and pre-clinical development, manufacturing, regulatory approval, and commercialization of our pharmaceutical product candidate or any other products we may acquire or in-license; our use of clinical research centers and other contractors; expectations for incurring capital expenditures to expand our research and development and manufacturing capabilities; expectations for generating revenue or becoming profitable on a sustained basis; expectations o

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AVENUE THERAPEUTICS, INC. (Registrant) Date: March 15, 2024 By: /s/ David Jin David Jin Interim Principal Financial Officer and Chief Operating Officer

View Full Filing

View this 8-K filing on SEC EDGAR