SAN DIEGO, Dec. 06, 2017 (GLOBE NEWSWIRE) -- TearLab Corporation (OTCQB:TEAR) (TSX:TLB) (“TearLab” or the “Company”), today announced the pricing of a registered direct offering of 6,818,182 units at a purchase price of $0.44 each, raising gross proceeds of $3.0 million, prior to any placement agent commissions and other offering-related expenses.
Each unit consists of one share of TearLab common stock (or common stock equivalent), a Series A warrant to purchase one share of common stock at an exercise price of $0.44 per share, and a Series B warrant to purchase one share of common stock at an exercise price of $0.44 per share. Each Series A warrant will be exercisable immediately and will expire five years from the date of issuance, and each Series B warrant will be exercisable immediately and will expire six months from the date of issuance. The shares of common stock, Series A warrants and Series B warrants comprising each unit are immediately separable and will be issued separately in this offering.
H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.
The closing of the sale of the securities is expected to take place on or about December 8, 2017, subject to the satisfaction of customary closing conditions. The Company plans to use the proceeds of this offering for general corporate purposes, including the development and completion of the U.S. Food and Drug Administration 510(k) filing for the TearLab Discovery™ System, capital expenditures, and working capital needed to satisfy debt covenants.
A registration statement on Form S-1 relating to these securities was declared effective by the Securities and Exchange Commission (SEC) on November 27, 2017. This offering is being made only by means of a prospectus forming part of the effective registration statement. A preliminary prospectus relating to and describing the terms of the offering has been filed with the SEC. Copies of the preliminary prospectus, and when available, copies of the final prospectus relating to the offering may be obtained for free by visiting the SEC's website at www.sec.gov or from H.C. Wainwright & Co., LLC, 430 Park Avenue, 4th Floor, New York, New York 10022, by email at email@example.com or by telephone at 646-975-6996.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About TearLab Corporation
TearLab Corporation (www.tearlab.com) develops and markets lab-on-a-chip technologies that enable eye care practitioners to improve standard of care by objectively and quantitatively testing for disease markers in tears at the point-of-care. The TearLab Osmolarity Test, for diagnosing Dry Eye Disease, is the first assay developed for the award-winning TearLab Osmolarity System. TearLab Corporation's common shares trade on the OTCQB Market under the symbol 'TEAR' and on the Toronto Stock Exchange under the symbol 'TLB'.
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. Forward-looking statements include, among others, statements concerning the finalizing and closing of the offering and the impact the offering might have on the trading and liquidity of its stock. These forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to be materially different from any future results expressed or implied by the forward-looking statements. Forward-looking statements are based on management’s current, preliminary expectations and are subject to various risks and uncertainties. Many factors, risks and uncertainties may cause our actual results to differ materially from forward-looking statements, including the factors, risks, and uncertainties detailed in our filings with the Securities and Exchange Commission and Canadian securities regulatory authorities, including but not limited to our Annual Report on Form 10-K for the year ended December 31, 2016, filed with the SEC on March 10, 2017,and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2017, filed with the SEC on November 13, 2017. We do not undertake to update any forward-looking statements except as required by law.
The Ruth Group