Better Therapeutics, a pioneering developer of software aimed at treating cardiometabolic diseases, made significant announcements today regarding its recent equity offerings. The company issued 2,023,583 shares of its common stock under its At-The-Market program, with an average price per share of $1.19.
In addition to the above, Better Therapeutics entered into a definitive purchase agreement for a private placement of 2,897,654 shares of its common stock at a price per share of $0.73. Simultaneously, the company engaged in a concurrent registered direct offering for the purchase and sale of 3,859,649 shares of its common stock at a price per share of $0.57. The total gross proceeds from these equity offerings amount to $6.7 million, with an average price of $0.77 per share, before accounting for offering expenses and commissions payable by Better Therapeutics. Notably, the private placement was primarily executed with officers and directors of the Company, while the registered direct offering was carried out with one institutional investor.
The primary objective of these equity offerings is to raise funds to support the launch of AspyreRx, a prescription-only digital therapy recently authorised by the U.S. Food and Drug Administration (FDA) for the treatment of adults with type 2 diabetes.
These equity offerings are a key aspect of Better Therapeutics' three-tiered financing strategy. In the medium term, the company intends to secure the majority of its financing needs through proceeds generated from business development and/or structured non-equity financing transactions, such as a royalty monetization transaction. The completion of such a transaction is expected before the end of the year.
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