Final closing yields total gross proceeds of
$29.8 million from offering
Mr. Matheis serves as President and CEO
of Sentara Health, one of the largest not-for-profit integrated
health systems in the U.S., which encompasses hospitals, a
physician group, and an affiliated health plan
NEW
YORK, May 7, 2024 /PRNewswire/ -- Lucid
Diagnostics Inc. (Nasdaq: LUCD) ("Lucid" or the
"Company") a commercial-stage, cancer prevention medical
diagnostics company, and majority-owned subsidiary of PAVmed Inc.
(Nasdaq: PAVM), today announced the Company has closed a Series B-1
Preferred Stock offering led by one of the Company's long-time
institutional investors, with gross proceeds of $11.6 million, bringing the total Series B / B-1
gross proceeds to $29.8 million. The
offering provides the Company with significant working capital to
execute its business plan as it approaches critical reimbursement
milestones. The Company also announced that its Board of Directors
has appointed healthcare industry veteran Dennis Matheis to serve as a Director, effective
May 6, 2024.
"We are gratified by the vote of confidence from these long-term
investors in Lucid's future," said Lishan
Aklog, M.D., Lucid's Chairman and Chief Executive Officer.
"With this preferred stock offering completed, we have strengthened
our balance sheet and meaningfully extended our runway to support
our operations as we prepare for upcoming, transformational
reimbursement milestones. As the Company will be accelerating its
engagement with both public and private payors as it works towards
these milestones, the Board felt it would be valuable to add deep,
specialized expertise in healthcare delivery and health insurance
to the Board. We are extremely fortunate that Dennis Matheis, a leading industry figure, has
agreed to join the Lucid team."
Series B / B-1 Preferred Stock Offering
On
May 6, 2024, Lucid issued to certain
accredited investors shares of Series B-1 Preferred Stock for
aggregate gross proceeds of $11.6
million. The Series B-1 Preferred Stock is convertible into
common stock after the six-month anniversary of its issuance. The
holders of Series B-1 Preferred Stock will be entitled to
dividends, payable in common stock, on the first and second
anniversary of closing, provided they have not converted, and
therefore remain holders of, Series B-1 Preferred Stock as of such
date. Previously, in March 2024, the
Company closed on $18.6 million in
gross proceeds from a Series B Preferred Stock offering on
comparable terms. With this Series B-1 closing, Lucid has now
completed its approximately $30
million, Board-approved Series B Preferred Stock
offering.
For more details concerning the Series B Preferred Stock
offering, please see the Company's Current Reports on Form 8-K
filed on March 14, 2024 and
May 7, 2024.
Appointment of Dennis
Matheis to Board of Directors
Dennis Matheis brings over three decades of
experience in healthcare industry leadership, including in
healthcare delivery and health insurance across large national and
regional health plans. Mr. Matheis currently serves as the
President and Chief Executive Officer of Virginia-based Sentara Health, one of the
twenty largest not-for-profit integrated health systems in the
country with nearly $13 billion in
annual revenue and over 32,000 employees. Sentara encompasses
twelve acute care hospitals in the Mid-Atlantic region with over
120,000 admissions per year, a medical group with over 1,500
clinicians and more than 2.8 million patient visits per year, and
an affiliated health plan, Sentara Health Plans (SHP), with over
one million covered lives. Before becoming CEO, he was the
Executive Vice President of Sentara and the President of SHP. Prior
to joining Sentara, Mr. Matheis spent 13 years in leadership roles
at Anthem, Inc., one of the largest health insurance plans in
the United States. He served as
President of Anthem's Central Region and Exchanges encompassing six
states and representing $12 billion
in annual revenue. Mr. Matheis previously served in senior
leadership roles at Anthem Blue Cross and Blue Shield of
Missouri, CIGNA Healthcare and
Humana Health Plan, as well as Advocate Health Care in Chicago.
Mr. Matheis earned his Bachelor of Science degree in Accounting
from the University of Kentucky and
practiced as a Certified Public Accountant before entering the
healthcare industry. He serves as Co-Chair of the Hampton Roads
Executive Roundtable. He also serves on the Board of Directors of
the Virginia Chamber of Commerce –
Team Virginia, DarioHealth, and on the Board of Directors and
Executive Committee of America's Health Insurance Plans (AHIP).
About Lucid Diagnostics
Lucid Diagnostics Inc. is a
commercial-stage, cancer prevention medical diagnostics company,
and subsidiary of PAVmed Inc. (Nasdaq: PAVM). Lucid is focused on
the millions of patients with gastroesophageal reflux disease
(GERD), also known as chronic heartburn, who are at risk of
developing esophageal precancer and cancer. Lucid's
EsoGuard® Esophageal DNA Test, performed on samples
collected in a brief, noninvasive office procedure with its
EsoCheck® Esophageal Cell Collection Device - the first
and only commercially available tools designed with the goal of
preventing cancer and cancer deaths through widespread, early
detection of esophageal precancer in at-risk patients.
For more information, please visit www.luciddx.com and for more
information about its parent company PAVmed, please visit
www.pavmed.com.
Forward-Looking Statements
This press release includes forward-looking statements that
involve risk and uncertainties. Forward-looking statements are any
statements that are not historical facts. Such forward-looking
statements, which are based upon the current beliefs and
expectations of Lucid's management, are subject to risks and
uncertainties, which could cause actual results to differ from the
forward-looking statements. Risks and uncertainties that may cause
such differences include, among other things, volatility in the
price of Lucid's common stock; general economic and market
conditions; the uncertainties inherent in research and development,
including the cost and time required to advance Lucid's products to
regulatory submission; whether regulatory authorities will be
satisfied with the design of and results from Lucid's clinical and
preclinical studies; whether and when Lucid's products are cleared
by regulatory authorities; market acceptance of Lucid's products
once cleared and commercialized; Lucid's ability to raise
additional funding as needed; and other competitive developments.
In addition, Lucid continues to monitor the COVID-19 pandemic and
the pandemic's impact on Lucid's businesses. These factors are
difficult or impossible to predict accurately and many of them are
beyond Lucid's control. In addition, new risks and uncertainties
may arise from time to time and are difficult to predict. For a
further list and description of these and other important risks and
uncertainties that may affect Lucid's future operations, see Part
I, Item 1A, "Risk Factors," in Lucid's most recent Annual Report on
Form 10-K filed with the Securities and Exchange Commission, as the
same may be updated in Part II, Item 1A, "Risk Factors" in any
Quarterly Report on Form 10-Q filed by Lucid Diagnostics after its
most recent Annual Report. Lucid disclaims any intention or
obligation to publicly update or revise any forward-looking
statement to reflect any change in its expectations or in events,
conditions, or circumstances on which those expectations may be
based, or that may affect the likelihood that actual results will
differ from those contained in the forward-looking statements.
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