ReWalk Robotics Ltd. (NASDAQ: RWLK) shares took a step back on Monday after the firm announced that it would be pricing a registered direct offering for $5 million. This comes after the stock had a phenomenal week when the U.S. Food and Drug Administration (FDA) cleared ReWalk’s ReStore soft exo-suit system.
According to the firm, it has entered into definitive agreements with institutional investors providing for the issuance of approximately 833,334 shares at a purchase price of $6.00 per share in a registered direct offering priced at-the-market.
ReWalk also will issue unregistered warrants to purchase up to approximately 416,667 ordinary shares. The warrants will have a term of 5.5 years, be exercisable immediately following the issuance date and have an exercise price of $6.00 per ordinary share.
Note that this offering is expected to result in gross proceeds of approximately $5 million.
Shares of ReWalk were last seen down about 15% at $5.82, in a 52-week range of $2.46 to $33.75. The consensus price target is $4.00.
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