Pasithea Therapeutics Secures $5 Million in Latest Offering

Pasithea Therapeutics Completes $5 Million Public Offering

MIAMI — Pasithea Therapeutics, Corp. (“Pasithea,” or the “Company”) (NASDAQ: KTTA; KTTAW), a clinical-stage biotechnology company specializing in innovative treatments for neurofibromatosis type 1 (NF1) and other cancer-related conditions, recently announced the successful closure of its public offering. This involves 3,571,428 shares of common stock, or pre-funded warrants instead, complemented by Series C and Series D warrants. Each share or warrant was offered at $1.40.

Details of the Offering and Financial Implications

The offering included Series C warrants that can be exercised at $1.40 per share, valid immediately upon issuance and expiring after five years. Additionally, the Series D warrants are also priced at $1.40 each and expire in 18 months from the issuance date. As part of this transaction, several investors opted to exercise the Series D warrants, leading to further proceeds of approximately $1.3 million for the Company.

Overall, the gross proceeds from the offering stood at $5 million, excluding the placement agent’s fees and other costs. Once factoring in the exercises of the Series D warrants, total gross proceeds reached around $6.3 million. The funds generated will be channeled toward general corporate objectives, including ongoing research, clinical trial developments, and the acquisition or investment in synergistic companies.

The Role of H.C. Wainwright & Co.

H.C. Wainwright & Co. plays a significant role as the exclusive placement agent for this public offering, facilitating the connection between Pasithea and its investors.

Usage of Proceeds

The capital raised will primarily support ongoing research and various clinical and pre-clinical studies. It may also cover the development of potential new pharmaceutical technologies, as well as enable licensing activities for future medical candidates. In addition, this funding will support investments or acquisitions of emerging tech companies that complement Pasithea's core technologies.

Future Prospects and Commitment to Innovation

Pasithea Therapeutics is steadfast in its commitment to advancing innovative treatments for central nervous system disorders and RASopathies, a family of genetic conditions. The Company’s dedicated pursuit in developing PAS-004, a next-generation inhibitor targeting the MEK pathway, showcases its intention to revolutionize treatment options for patients.

About Pasithea Therapeutics

Pasithea is not just a company but a pioneer in the field of biotechnology focused on finding solutions for serious health challenges. Their work extends beyond just research; they aim to transform how we understand and treat complex conditions of the nervous system and other related diseases.

Frequently Asked Questions

What is the main purpose of Pasithea's recent $5 million offering?

The main purpose is to generate funds for ongoing research, clinical trials, and potential acquisitions that enhance their capabilities in developing treatments.

What products is Pasithea currently focusing on?

Pasithea is focused on developing treatments for neurofibromatosis type 1 (NF1) and other cancer indications, especially targeting the MEK pathway.

Who acted as the placement agent for the public offering?

H.C. Wainwright & Co. served as the exclusive placement agent for this public offering.

How will Pasithea utilize the proceeds from this offering?

The proceeds will be utilized for general corporate purposes, including research, clinical trials, and investing in new technologies.

What is the significance of the Series C and Series D warrants?

The Series C and Series D warrants allow investors to purchase shares of common stock at a predetermined price, which can lead to additional funding for the Company.

About The Author

Hi there, As a writer and financial specialist, Henry Turner is passionate about guiding people through the complex world of finance. Having worked in finance for many years, I am an expert at simplifying difficult financial ideas into understandable, useful insights for my blog and articles. My goal is to arm you with the confidence and information you need to make wise financial choices.

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