Financing included a strategic seed investment
by a tier-1 multi-billion dollar medical device company and
participation from members of Movano Health's management team and
board of directors
Hosting conference call on April 4, 2024 at 2:00 PM
PT/5:00 PM ET
PLEASANTON, Calif., April 2,
2024 /PRNewswire/ -- Movano Health (Nasdaq: MOVE), a
pioneer in health technology, today has agreed to sell
approximately 45 million units in a $24
million private placement, with each unit consisting of one
share of the Company's common stock (or pre-funded warrant in lieu
thereof) and one warrant to purchase a share of common stock, to a
select group of investors that includes a tier-one multi-billion
dollar medical device company, institutional and accredited
investors, and members of the Company's management team and
board of directors. Movano Health intends to use the net proceeds
from the financing for working capital and general corporate
purposes. The proceeds from this financing, combined with current
cash, cash equivalents and marketable securities, are expected to
be sufficient to fund the current operating plan well into
2025.
"Today marks a pivotal moment in our company's journey –
securing a strategic investment from one of the world's leading
medical device companies as part of a significant capital infusion.
This event not only underscores the vast potential of Movano
Health's innovative approach to delivering medical-grade data to
both consumers and enterprises but also acts as an endorsement of
the company's vision and technological advancements," said
John Mastrototaro, CEO of Movano
Health.
The $24 million private placement
includes a $3.0 million seed
investment from the tier 1 medical device company and more than
$3.6 million from members of Movano
Health's management team and board of directors.
"We are thrilled to have the support of such a prestigious
strategic investor, alongside the substantial investment from
Movano Health's management team and board of directors and
broad-based backing of institutional and accredited investors,"
said Mastrototaro. "With this capital raise, we have the financial
resources to accelerate the development of our proprietary
technologies and wearable medical device solutions for the
significant enterprise opportunity that exists in healthcare."
Terms
Each unit includes one common share sold at a price of
$0.4071, and one warrant priced at
$0.125 to purchase one common share,
for a unit price of $0.533. The
warrants will have an exercise price of $0.4071 per share of common stock, will be
immediately exercisable, and have a five year term. The pre-funded
warrants will have an exercise price of $0.001 per share of common stock, will be
immediately exercisable, and will remain exercisable until
exercised in full. The financing is expected to close on
April 4, 2024, subject to customary
closing conditions. Movano Health anticipates the gross proceeds
from the private placement to be approximately $24 million, before deducting any
offering-related expenses.
The Benchmark Company, LLC acted as placement agent for the
offering. The Liquid Venture Partners group at The Benchmark
Company, LLC was responsible for sourcing and executing the
offering.
K&L Gates LLP represented the Company and Greenberg Traurig,
LLP represented the placement agent in the transaction.
The securities described above have not been registered under
the Securities Act of 1933, as amended. Accordingly, these
securities may not be offered or sold in the United States, except pursuant to an
effective registration statement or an applicable exemption from
the registration requirements of the Securities Act. Movano Health
has agreed to file a registration statement with the U.S.
Securities and Exchange Commission (the "SEC") registering the
resale of the shares of common stock and the shares of common stock
issuable upon exercise of the pre-funded warrants issued in this
private placement. Any offering of the securities under the resale
registration statement will only be made by means of a
prospectus.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of any such
jurisdiction.
Fourth Quarter, 2024 Results and Conference Call on
April 4, 2024
In a separate
press release today, Movano Health announced it will release its
fourth quarter 2023 results on April 4,
2024, after the market close. Management will be hosting a
conference call to discuss the results and provide a business
update on the same day at 2:00 PM
PT/5:00 PM ET.
Attendees can access the live webcast here or on the
investors section of Movano Health's website at
https://ir.movano.com. The conference call can be accessed by
dialing 1-877-407-0989 (domestic), or 1 201-389-0921
(international). Attendees can also use the Call Me Link, in which
they will be dialed in to the conference call instantly on the
number provided with no hold time. An archived webcast will be
available on Movano Health's website approximately one hour after
the completion of the event and for two years thereafter.
About Movano Health
Founded in 2018, Movano
Inc. (Nasdaq: MOVE) dba Movano Health is developing a suite of
purpose-driven healthcare solutions to bring medical-grade data to
the forefront of wearables. Featuring modern and flexible form
factors, Movano Health's devices offer an innovative approach to
delivering trusted data to both customers and enterprises,
capturing a comprehensive picture of an individual's health data
and uniquely translating it into personalized and intelligent
insights.
Movano Health's proprietary technologies and wearable medical
device solutions will soon enable the use of data as a tool to
proactively monitor and manage health outcomes across a number of
patient populations that exist in healthcare. For more information
on Movano Health, visit https://movanohealth.com/.
Forward Looking Statements
This press release contains
forward-looking statements concerning our expectations,
anticipations, intentions, beliefs, or strategies regarding the
future. These forward-looking statements are based on assumptions
that we have made as of the date hereof and are subject to known
and unknown risks and uncertainties that could cause actual
results, conditions, and events to differ materially from those
anticipated. Therefore, you should not place undue reliance on
forward-looking statements. Examples of forward-looking statements
include, among others, statements we make regarding the anticipated
closing of the private placement transaction, plans with respect to
commercial launch of the Evie Ring; planned cost-cutting
initiatives; anticipated FDA clearance for the Evie Ring and other
products in development; expected future operating results; product
development and features, product releases, clinical trials and
regulatory initiatives; our strategies, positioning and
expectations for future events or performance. Important factors
that could cause actual results to differ materially from those in
the forward-looking statements are set forth in our most recent
Annual Report on Form 10-K and any subsequent Quarterly Reports on
Form 10-Q, and in our other reports filed with the Securities and
Exchange Commission, including under the caption "Risk
Factors." Any forward-looking statement in this release
speaks only as of the date of this release. We undertake no
obligation to publicly update any forward-looking statement,
whether written or oral, that may be made from time to time,
whether as a result of new information, future developments or
otherwise.
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SOURCE Movano