NEW YORK – Bionano Genomics today announced it will sell 20,937,558 shares of its common stock in a public offering as well as an equivalent number of warrants to purchase shares for expected net proceeds of $18 million.
The San Diego-based life sciences instrument maker will sell either shares of common stock or pre-funded warrants to purchase common stock. Each share or pre-funded warrant is being sold together with a common warrant to purchase one share of common stock at a combined effective price of $.86.
Bionano said it expects to use the proceeds for general corporate purposes, including working capital, sales and marketing, general and administrative matters, and capital expenditures.
In morning trading on the Nasdaq, shares of Bionano fell 47 percent to $1.
Oppenheimer & Co. is acting as the sole book-running manager. Roth Capital Partners is acting as lead manager and Maxim Group is acting as co-lead manager.
Bionano, which markets the Saphyr optical genome mapping system for large-scale structural variant analysis, went public in August 2018. The firm filed for this public offering in September, and last week said it planned to sell 5,265,000 shares of common stock with warrants to purchase an additional 5,265,000 shares at an offering price of $2.85 per share and accompanying warrant, with expected net proceeds of $13.6 million.
Bionano's shares have plummeted since then from a closing price of $2.85 last Wednesday to under $1 in trade this morning.
The common warrants will be immediately exercisable at a price of $.86 per share of common stock and will expire five years from the date of issuance, the firm said in a statement. The shares or pre-funded warrants, and the accompanying common warrants, can only be purchased together but will be issued separately and will be immediately separable.
Bionano expects the offering to close on or about Oct. 23, subject to customary closing conditions.