FORT LAUDERDALE - Motus GI Holdings, Inc. (NASDAQ:MOTS), a medical technology company, announced today it has entered into a definitive agreement with an institutional investor for the immediate exercise of a Series B common stock purchase warrant. This transaction will result in the issuance of approximately 2.93 million shares of common stock, generating gross proceeds of about $2.7M.
The exercised warrant, originally issued in December 2023 with a $1.50 exercise price per share, was amended to an exercise price of $0.925 per share. In return for the immediate cash exercise of the warrant, Motus GI will issue two new unregistered warrants to the investor. These warrants allow for the purchase of an additional 4.4 million shares at $0.74 per share and are exercisable immediately upon issuance. One set of warrants will be valid for five years, while the other will expire in eighteen months.
A.G.P./Alliance Global Partners (NYSE:GLP) is serving as the exclusive financial advisor for the offering, which is expected to close by February 26, 2024, pending customary closing conditions. Motus GI intends to allocate the net proceeds for working capital and general corporate purposes.
Additionally, the company has agreed to adjust the terms of Series A and other warrants issued to the same investor in December 2023 and May 2023. These amendments include a reduction in the exercise price to $0.74 per share and an extension of the expiration date to February 2029.
The new warrants and the shares of common stock underlying them have not been registered under the Securities Act of 1933 or state securities laws. They may not be offered or sold in the United States absent registration or an exemption from registration requirements.
Motus GI specializes in endoscopy solutions aimed at improving clinical outcomes and the cost-efficiency of gastrointestinal condition diagnoses and management. The company's operations span the U.S. and Israel.
This press release does not constitute an offer to sell or a solicitation of an offer to buy securities.
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