NEW YORK - Sunshine Biopharma, Inc. (NASDAQ:SBFM), a pharmaceutical company focused on developing treatments in oncology and antivirals, announced a public offering expected to raise approximately $10 million before fees and expenses. The offering consists of 71,428,571 units, each containing common stock or warrants, priced at $0.14 per unit, or $0.139 with a Pre-Funded Warrant.
The Pre-Funded Warrants are immediately exercisable, with Series A Warrants exercisable at $2.10 per share and expiring 30 months post-issue. Series B Warrants are exercisable at $2.38 per share, with a 60-month expiration. Aegis Capital Corp. has a 45-day option to buy additional securities to cover over-allotments.
The offering is expected to close around February 15, 2024, subject to customary closing conditions. Sunshine Biopharma aims to use the net proceeds for general corporate purposes and working capital.
Aegis Capital Corp. is the sole book-running manager, with Sichenzia Ross Ference Carmel LLP and Kaufman & Canoles, P.C. providing legal counsel. The offering follows an effective SEC registration statement filed on February 1, 2024, and declared effective on February 12, 2024.
Sunshine Biopharma operates through its subsidiary Nora Pharma Inc., with a presence in the Canadian generic prescription drug market and ongoing proprietary drug development.
This news is based on a press release statement.
InvestingPro Insights
With Sunshine Biopharma, Inc. (NASDAQ:SBFM) announcing a significant public offering, investors are closely monitoring the company's financial health and market performance. According to recent data from InvestingPro, SBFM has a market capitalization of 5.33 million USD, indicating a relatively small size in the pharmaceutical industry. The company's aggressive sales growth is evident, with a staggering revenue growth of 4046.13% over the last twelve months as of Q3 2023, which aligns with the InvestingPro Tips highlighting analysts' anticipation of sales growth in the current year.
Despite this revenue surge, Sunshine Biopharma's profitability remains in question, as indicated by its negative P/E Ratio of -0.48 for the same period. This is a critical figure that potential investors should consider, especially when the company is actively seeking additional capital. Moreover, the stock's price has suffered, currently trading at 0.19 USD, close to its 52-week low and reflecting a significant downturn of 79.72% over the last year.
For those considering the stock's future trajectory, one of the InvestingPro Tips suggests that the stock price often moves in the opposite direction of the market, which could indicate a potential for rebound in differing market conditions. Additionally, the company holds more cash than debt on its balance sheet, which may provide some financial stability in the short term.
Investors looking for a more in-depth analysis can find additional insights on Sunshine Biopharma by exploring the full list of 15 InvestingPro Tips available at https://www.investing.com/pro/SBFM. To gain access to these valuable tips and metrics, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.