SOUTHLAKE, Texas, June 15, 2022 — Heart Test Laboratories, Inc. (NASDAQ: HSCS; HSCSW) (“HeartSciences” or the “Company”), a medical technology company focused on applying innovative AI-based technology to an ECG (also known as an EKG) to expand and improve an ECG’s clinical usefulness, today announced the pricing of its initial public offering of 1,500,000 units, each consisting of one share of common stock (the “Common Stock”) and a warrant (the “Warrants”) to purchase one share of Common Stock, at a public offering price of $4.25 per unit for aggregate gross proceeds of approximately $6.375 million, prior to deducting underwriting discounts, commissions, and other offering expenses. Each unit will immediately separate into one share of Common Stock and one Warrant. Each Warrant permits the holder to purchase one share of Common Stock at an exercise price of $4.25 per share, exercisable until the fifth anniversary of the issuance date.
In addition, the Company has granted the underwriters a 30-day option to purchase up to an additional 225,000 shares of Common Stock and/or Warrants to purchase up to 225,000 shares of Common Stock, in any combination thereof, at the initial public offering price, less underwriting discounts and commissions to cover over-allotments, if any. The offering is expected to close on June 17, 2022, subject to customary closing conditions.
In connection with the offering, HeartSciences has received approval to list its Common Stock and Warrants on the Nasdaq Capital Market, with its Common Stock trading under the symbol “HSCS” and the Warrants trading under the symbol “HSCSW”, with trading expected to begin on June 15, 2022.
The gross proceeds to HeartSciences from the offering, before deducting underwriting discounts and commissions and offering expenses, are expected to be $6.375 million. HeartSciences expects to use the net proceeds from the offering primarily to fund FDA clearance for the MyoVista device, including completion of the pivotal clinical validation study, and for working capital and general corporate purposes.
The Benchmark Company, LLC is acting as sole book-running manager for the offering.
A registration statement on Form S-1, as amended (File No. 333-265024), was filed with the Securities and Exchange Commission (“SEC”) and was declared effective by the SEC on June 14, 2022. The offering will be made only by means of a prospectus forming a part of the registration statement. A copy of the final prospectus relating to this offering, when available, will be filed with the SEC and may also be obtained from The Benchmark Company, LLC, Attn: Prospectus Department, 150 E. 58th Street, 17th floor, New York, NY 10155 or by calling 212-312-6700 or by emailing prospectus@benchmarkcompany.com.
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 state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
