Silo Pharma (SILO) said Friday it has agreed to a private placement of common stock and warrants to raise up to $11.7 million in gross proceeds.
The company will initially get about $4 million by selling 619,965 shares at $6.452 each, and the deal has two series of warrants carrying a $6.21 exercise price to potentially bring in another $7.7 million.
Investors can exercise the five-year and 18-month instruments immediately after they are issued, and all proceeds are intended to be used as working capital and for general corporate purposes, Silo Pharma said.
The offering is set to close around Friday.
Shares of the company were down over 19% in Friday premarket activity.
Price: $6.20, Change: $-1.53, Percent Change: -19.79%