Cingulate Prices Offering Of 3.75 Mln Shares At $2/Share, Stock Tanks

(RTTNews) - Pharmaceutical company Cingulate Inc. (CING), Friday announced the pricing of 3.75 million shares at $2 per share, to raise $7.5 million.

The company said that it intends to use the proceeds from the offering for the development and commercialization of its lead candidate CTx-1301 and other corporate-related purposes.

The company also announced accompanying warrants of Series A to purchase up to 3.75 shares and Series B to purchase up to 1.875 shares.

Both warrants will be exercised immediately for $2 per share. However, Series A warrants and Series B warrants will expire in five and two years, respectively, from their date of issuance.

The offering will close on or about February 6.

H.C. Wainwright & Co. acts as the placement agent of the offering.

Following the announcement, Cingulate's stock is tanking 45.92 percent, to $1.82 over the previous close of $3.36 on a volume of 842,188 on the Nasdaq.