Allurion Technologies (ALUR) said Wednesday it expects to raise roughly $6.1 million from a registered direct share offering to institutional investors.
The company said it signed deals to sell 900,000 shares at $5.23 apiece to the investors. It will also issue warrants to the investors to buy up to 1.8 million shares.
Allurion also said it struck a deal to sell 267,686 shares and warrants to purchase up to 535,372 shares at $5.23 per share and accompanying warrant to funds affiliated with Leavitt Equity Partners.
Proceeds will be used to fund its pipeline evaluating the effects of the combination of the Allurion Balloon and GLP-1 therapy on muscle mass and long-term GLP-1 adherence, for working capital, and for general corporate purposes, the company said.
The offering is expected to close on Thursday, it said.
The shares were down more than 30% in recent trading.
Price: 3.86, Change: -1.72, Percent Change: -30.88
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