By Dean Seal
Shares of Biolase tumbled after the company’s underwritten public offering of preferred stock and warrants was priced to raise about $4.5 million.
The stock was down 43% at $1.85 in premarket trading. When the market closed Wednesday, shares had already fallen 99% over the prior 12 months.
The dental-laser company said late Wednesday that it will offer 75,000 units, with each unit consisting of one share of Series J Convertible Redeemable Preferred Stock with a liquidation preference of $100 per share, as well as a warrant to buy half of a share of Series J Convertible Preferred Stock.
The purchase price of a unit is $60. Series J Convertible Preferred Stock has a term of one year and is convertible at the option of the holder into share at a conversion price of $3.26. The warrants have a term of one year and an exercise price of $30.
The offering is expected to close on Sept. 18.
Write to Dean Seal at [email protected]
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