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Scinai Announces Entering into $2 Million Private Equity Commitment Agreement with its largest Existing Shareholder
SCNIScinai Immunotherapeutics .(SCNI) Prnewswire·2024-08-20 13:30

Investment Commitment Agreement - Scinai Immunotherapeutics has entered into a 2millionInvestmentCommitmentAgreementwithRKStoneMiamiLLC,anaffiliateofitslargestshareholder,DanielStone[1]−TheagreementallowsthecompanytoissueandsellAmericanDepositaryShares(ADSs)totheinvestor,withatotalpurchasepriceofupto2 million Investment Commitment Agreement with RK Stone Miami LLC, an affiliate of its largest shareholder, Daniel Stone [1] - The agreement allows the company to issue and sell American Depositary Shares (ADSs) to the investor, with a total purchase price of up to 2 million, through December 31, 2024 [2] - Each sale of ADSs can be initiated by the company, with a minimum amount of 200,000andamaximumof200,000 and a maximum of 500,000 per notice, and a monthly cap of 500,000[2]−ThepriceofADSswillbebasedonthelowerofthe10−dayor3−dayvolume−weightedaverageprice(VWAP),subjecttoa5500,000 [2] - The price of ADSs will be based on the lower of the 10-day or 3-day volume-weighted average price (VWAP), subject to a 5% discount [2] - If the investor's ownership exceeds 9.99% of ordinary shares after issuing ADSs, the number of ADSs will be reduced, and pre-funded warrants will be issued for the reduced amount [3] Commitment Fee - The company will pay a commitment fee of 100,000 if it provides an advance notice during the commitment period, payable in cash or ADSs at the company's discretion [4] - If no advance notice is provided, the commitment fee will be $40,000, payable promptly after the commitment period ends, also in cash or ADSs [4] Company Overview - Scinai Immunotherapeutics is a biopharmaceutical company with two business units: one focused on developing inflammation and immunology (I&I) biological products, and the other providing CDMO services through its Scinai Bioservices unit [6] - The company's I&I pipeline includes innovative nanosized VHH antibodies (NanoAbs) targeting diseases with significant unmet medical needs [6] - The CDMO unit offers services such as biological drug development, analytical methods development, clinical cGMP manufacturing, and pre-clinical and clinical trial design and execution [6]