Lucosky Brookman LLP Represents Modular Medical in $12 Million Private Placement
Lucosky Brookman LLP represented Modular Medical, Inc. (Nasdaq: MODD) (“Modular Medical” or the “Company”) in connection with its private placement transaction, expected to generate gross proceeds of approximately $12 million before fees and expenses.
Modular Medical, a San Diego-based insulin delivery technology company and developer of the first FDA-cleared patch pump designed specifically for the needs of “almost-pumpers,” executed definitive subscription agreements with a group of institutional and accredited investors for the private placement of units priced at $1.92 per unit, at-the-market under Nasdaq rules.
Each unit consists of two shares of common stock and one warrant to purchase one share of common stock. In total, the transaction will include the issuance of 12,495,312 shares of common stock and warrants to purchase 6,247,656 shares of common stock. The warrants will be immediately exercisable at an exercise price of $1.12 per share and will remain valid for four years following the closing, which is anticipated to occur on or about March 25, 2025, subject to customary closing conditions.
The Company intends to use the proceeds from the offering to optimize its supply chain, improve product margins on its MODD1 system ahead of commercial rollout, prepare a submission to the FDA for a tubeless version of the MODD1, and pursue CE mark approval for international markets.
Newbridge Securities Corporation acted as the sole placement agent for the offering, with Titan Partners Group, a division of American Capital Partners, serving as financial advisor to the Company.
In addition to the main private placement, the Company is also conducting a Concurrent Direct Placement of up to 446,429 additional units for up to an additional $500,000 in gross proceeds, on the same terms as the primary offering.
Lucosky Brookman LLP was pleased to serve as legal counsel to Modular Medical in connection with this important financing transaction, further reinforcing the firm’s commitment to supporting innovative, high-growth companies in the life sciences and medical technology sectors.