Ault Global Holdings Announces Alzamend Neuro Pricing of Initial Public Offering
Alzamend’s common stock began trading on the Nasdaq Capital Market under the ticker symbol “ALZN” on
Milton “Todd” Ault, III, the Company’s Executive Chairman, stated, “The Company is pleased that Alzamend has achieved this milestone to further its commitment to develop treatments and cures for Alzheimer’s, other neurodegenerative diseases and psychiatric disorders.”
The Company has certain beneficial ownership and rights to further invest in Alzamend as follows:
The Company beneficially owns 5.1 million shares of Alzamend common stock held by its wholly-owned subsidiary,
Digital Power Lending, LLC(“DPL”).
- The Company has the right to acquire 1.35 million shares of Alzamend common stock upon the exercise of warrants beneficially owned by DPL.
March 2021, Alzamend entered into a securities purchase agreement with DPL pursuant to which Alzamend agreed to sell an aggregate of 6.7 million shares of its common stock for an aggregate of $10 million, or $1.50per share, which sales will be made in tranches. Alzamend further agreed to issue to DPL warrants to purchase such number of shares of its common stock equal to 50% of the shares of common stock purchased under the securities purchase agreement at an exercise price of $3.00per share. On March 9, 2021, the Company issued 2.7 million shares of Alzamend common stock (included in the 5.1 million shares of Alzamend common stock held by DPL described above) upon closing of the first tranche of $4 million. Under the terms of the securities purchase agreement, DPL may purchase an additional 4.0 million shares.
Finally, Alzamend agreed that for a period of 18 months following the date of the payment of the final tranche of
$4 million, DPL will have the right to invest an additional $10 millionon the same terms, except that no specific milestones have been determined with respect to the additional $10 million.
Should the Company exercise all warrants and options to invest, it would own 22.4 million shares with an average cost of
For more information on
Alzamend Neuro®, Inc. (“Alzamend®)” (www.Alzamend.com), is a
This press release contains “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the
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