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OpGen Plans $10.4M Stock, Warrant Sale

NEW YORK — OpGen last week filed an amended prospectus with US regulators to sell a mix of stock and warrants to raise up to $10.4 million to help fund its planned acquisition of German molecular diagnostics firm Curetis.

According to its filing with the US Securities and Exchange Commission, OpGen intends to offer roughly 1.5 million securities units consisting of one common share and a warrant to purchase an additional share. Warrants will be exercisable immediately and expire in five years.

Additionally, purchasers of the units who would own more than 4.99 percent of OpGen's outstanding common shares after the completion of the offering will be able to purchase prefunded units — each comprising one prefunded warrant to purchase one share of the company's common stock and one common warrant to purchase one share of stock — in place of units that would result in the purchase's beneficial ownership exceeding 4.99 percent of OpGen's common stock. 

The Gaithersburg, Maryland-based company said it expects to net approximately $8.9 million through the transaction based on an assumed offering price of $6.55 per unit. Should the underwriter of the offering — H.C. Wainwright — fully exercise its option to purchase an additional 229,007 shares and warrants to buy up to 229,007 shares, OpGen said its net proceeds would be about $10.4 million.

OpGen said that it plans to use the proceeds of the offering to complete the Curetis acquisition, provide short-term funding to Curetis, and support the ongoing submission of its Acuitas AMR Gene Panel and its Acuitas Lighthouse software for antibiotic resistance detection to US regulators.

OpGen submitted the test and software to the US Food and Drug Administration in May, but received a request for additional information from the agency a few months later. OpGen said it is currently preparing its response.