Cidara Therapeutics Inc (NASDAQ:CDTX) entered into an underwriting agreement (the “Underwriting Agreement”) with Cantor Fitzgerald & Co. (the “Underwriter”), relating to the offering, issuance and sale of 2,475,248 shares of the Company’s common stock (the “Shares”) to the Underwriter at a price to the public of $10.10 per share (the “Offering”). The net proceeds to the Company from the Offering are expected to be approximately $23.9 million, after deducting underwriting discounts and commissions and estimated expenses payable by the Company. The Offering is expected to close on or about October 13, 2016, subject to customary closing conditions. Pursuant to the Underwriting Agreement, the Underwriter has a 30-day option to purchase up to 371,287 additional shares of common stock.
The Offering is being made pursuant to the Company’s effective registration statement on Form S-3 (Registration Statement No. 333-211472) previously filed with and declared effective by the Securities and Exchange Commission (the “SEC”) and a prospectus supplement and accompanying prospectus filed with the SEC.
The Underwriting Agreement contains customary representations, warranties and agreements by the Company, conditions to closing, indemnification obligations of the Company and the Underwriter, including for liabilities under the Securities Act of 1933, as amended, other obligations of the parties and termination provisions. The representations, warranties and covenants contained in the Underwriting Agreement were made only for purposes of such agreement and as of specific dates, were solely for the benefit of the parties to such agreement, and may be subject to limitations agreed upon by the contracting parties.
The foregoing description of the Underwriting Agreement is not complete and is qualified in its entirety by reference to the full text of the Underwriting Agreement, a copy of which is filed as Exhibit 1.1 to this report and is incorporated by reference herein. A copy of the opinion of Cooley LLP relating to the legality of the issuance and sale of Common Stock in the Offering is attached as Exhibit 5.1 to this report.
