XML 28 R17.htm IDEA: XBRL DOCUMENT v3.10.0.1
Subsequent Events
3 Months Ended
Sep. 30, 2018
Subsequent Events [Abstract]  
Subsequent Events

Note 11 – Subsequent Events

 

On October 9, 2018, we closed an underwritten public offering, with total gross proceeds of $15.2 million which includes the full exercise of the underwriters’ over-allotment option to purchase additional shares and warrants, before deducting underwriting discounts, commissions and other offering expenses payable by the Company.

 

The securities offered by the Company consist of (i) an aggregate of 457,007 shares of its Common Stock, (ii) an aggregate of 8,342,993 shares of its Series C Convertible Preferred Stock convertible into an aggregate of 8,342,993 shares of Common Stock at a conversion price of $1.50 per share, and (iii) Warrants to purchase an aggregate of 8,800,000 shares of Common Stock at an exercise price of $1.50 per share. The securities were issued at a public offering purchase price of $1.50 per fixed combination of (a) one share of Common Stock and one Warrant or (b) one share of Series C Preferred Stock and one Warrant. Each share of Series C Preferred Stock is convertible into one share of Common Stock. The Warrants are exercisable upon issuance and will expire five years from the date of issuance. The conversion price of the Series C Preferred Stock in the offering as well as the exercise price of the Warrants are fixed and do not contain any variable pricing features, or any price based anti-dilution features.

 

In connection with this offering, the underwriters have exercised their over-allotment option in full and purchased an additional 1,320,000 shares of Common Stock and 1,320,000 Warrants.

On October 17, 2018, we made a payment in the amount of $188,000 to purchase a commercial supply of ZolpiMist.

 

On October 24, 2018, Aytu issued 2.7 million shares of restricted stock to executives, directors and employees pursuant to the 2015 Plan, which vest in October 2028 and have a fair value of $3.5 million.

 

In November, the Company’s entry into the $3 billion cough and cold market with an exclusive license of FDA-approved Tuzistra® XR from Tris Pharma. Along with Tuzistra XR, the Company has licensed a complementary antitussive product pending FDA approval. As part of this transaction, the Company also plans to enter into a strategic financing with Armistice Capital, LLC for up to $5 million in the form of a three-year note, secured by the Tuzistra revenue streams.