FORT WORTH, Texas - TFF Pharmaceuticals, Inc. (NASDAQ:TFFP), a clinical-stage biopharmaceutical company, has launched a public offering of shares and warrants, expecting to raise approximately $4.8 million in gross proceeds. The offering includes 1,665,219 shares of common stock or equivalents and warrants to purchase an equal number of shares. The combined public offering price is set at $2.875 per share and accompanying warrant.
The warrants, exercisable immediately upon issuance at $2.75 per share, will expire five years from the date of issuance. The expected closing date of the offering is May 1, 2024, contingent upon meeting customary closing conditions. H.C. Wainwright & Co. serves as the exclusive placement agent for the offering.
TFF Pharmaceuticals intends to allocate the net proceeds for working capital and general corporate purposes. The offering is conducted under a registration statement on Form S-1, declared effective by the Securities and Exchange Commission (SEC) on April 29, 2024.
The company specializes in developing dry powder formulations of medicines through its patented Thin Film Freezing (TFF) technology, which is applicable to a wide range of drugs, including vaccines and biologics. This technology aims to enhance the efficacy, safety, and stability of medications.
InvestingPro Insights
In light of TFF Pharmaceuticals' recent public offering, investors may find the following insights from InvestingPro valuable for making informed decisions. The company's market capitalization stands at a modest $6.93 million, reflecting the size and current valuation in the market. Despite a significant revenue growth rate of 48.02% in the last twelve months as of Q4 2023, it's important to note that TFF Pharmaceuticals has a negative gross profit margin of -1531.39% for the same period, indicating substantial costs outweighing revenue.
InvestingPro Tips suggest that TFFP's stock is currently in oversold territory, which could potentially interest value investors looking for a rebound opportunity. However, it's crucial to consider that the company is not only quickly burning through cash but also has experienced substantial price declines, with a one-month total return of -55.13% as of the most recent data point. This could indicate a bearish sentiment among investors or a response to broader market conditions.
For those considering an investment in TFF Pharmaceuticals, there are additional InvestingPro Tips available that could provide further insight into the company's financial health and market performance. With 14 additional tips listed on InvestingPro, investors can gain a more comprehensive understanding of what to expect from TFFP's stock. To access these tips, visit https://www.investing.com/pro/TFFP and remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.