Gain Therapeutics, Inc. (NASDAQ:GANX) has established an at-the-market offering program with Oppenheimer & Co. Inc. to sell up to $50 million worth of common stock. Learn more about this latest development and what it means for investors.
Gain Therapeutics, a pharmaceutical company, recently announced the establishment of an at-the-market offering program with Oppenheimer & Co. Inc. This program allows Gain Therapeutics to sell shares of common stock totaling up to $50 million through an Equity Distribution Agreement.
The shares will be offered through an at-the-market offering, giving Gain Therapeutics the flexibility to sell them on the Nasdaq Capital Market or other available trading platforms. The offering will be conducted under Gain Therapeutics' existing shelf Registration Statement on Form S-3, filed with the SEC on May 18, 2022, and effective on June 1, 2022. A prospectus supplement related to the offering will also be filed with the SEC.
Oppenheimer will act as the sales agent, selling the shares at market prices or negotiated transactions and receiving a commission of 3% of the gross proceeds. Gain Therapeutics has agreed to provide indemnification and contribution to Oppenheimer for certain liabilities, as well as reimburse them for some expenses related to the agreement.
The Distribution Agreement gives Gain Therapeutics the discretion to manage the timing and amount of sales, with Oppenheimer making efforts to sell the shares according to the company's instructions and within regulatory parameters.
Overall, this at-the-market offering program provides Gain Therapeutics with the opportunity to raise capital through the sale of common stock, potentially boosting the company's financial position and supporting its growth initiatives. Investors should keep an eye on how this offering unfolds and consider its implications for Gain Therapeutics' stock performance and future prospects.