Why Genprex Shares Are Getting Hammered Today

Genprex Inc GNPX shares are trading lower by 19.12% to $1.10 during Monday's pre-market session. The company announced a $4 million registered direct offering with an institutional investor.

What Else?

The securities purchase agreement is for the purchase and sale of 3,809,524 shares of its common stock together with warrants to purchase up to 3,809,524 shares of common stock at a combined purchase price of $1.05 per share and accompanying warrant, pursuant to a registered direct offering.

Genprex says the warrants will have an exercise price of $1.10, will be exercisable immediately and will expire five years from the date of issuance.

The closing of the offering is expected to occur on or about March 1, subject to the satisfaction of customary closing conditions.

The gross proceeds from the offering are expected to be approximately $4 million, before deducting placement agent fees and other estimated offering expenses. The company intends to use the net proceeds from the offering for general working capital purposes.

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According to data from Benzinga Pro, GNPX has a 52-week high of $2.67 and a 52-week low of $0.97.