BOULDER — Brickell Biotech Inc. (Nasdaq: BBI), a developer of skin disease therapies, has entered an underwriting agreement with H.C. Wainwright & Co. LLC to sell 11,290,323 shares of common stock at $0.62 per share, a deal that will raise $7 million for the company.
“The company intends to use the net proceeds of the offering for research and development, including clinical trials, working capital and general corporate purposes,” Brickell said.
H.C. Wainwright & Co. is acting as the sole book-running manager for the offering.
The announcement of the offering was made Monday night and Brickell’s stock price tumbled overnight in premarket trading. As of just after 6:30 a.m. Tuesday, the premarket price was $0.59, down nearly 20% from Monday’s closing price.
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