Cyclo Therapeutics Announces $4.2 Million Registered Direct Offering Price

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Cyclo Therapeutics, Inc. (Nasdaq: CYTH), a clinical stage biotechnology company dedicated to developing life-changing medicines for patients and families living with diseases through science and innovation, announced today that it has entered into a definitive securities purchase agreement for the purchase and sale of 2,608,696 shares of common stock (or common stock equivalents) at a purchase price of $1.61 per share of common stock.

In addition, the Company will issue series A-1 warrants to purchase up to 2,608,696 shares of common stock and series A-2 warrants to purchase up to 2,608,696 shares of common stock in a concurrent private placement. Each series of warrants has a $1.36 per share exercise price and is exercisable on the day of issuance. The series A-1 warrants will be valid for five years from the date of issuance, while the series A-2 warrants will be valid for three years.

H.C. Wainwright & Co. is the offering’s exclusive placement agent.

The shares of common stock (or common stock equivalents) described above are being offered by the Company pursuant to a “shelf” registration statement on Form S-3 (File No. 333-254496) previously filed with the Securities and Exchange Commission (the “SEC”) and declared effective by the SEC on May 28, 2021. Only a prospectus, including a prospectus supplement, that is part of the effective registration statement is used to offer shares of common stock (or common stock equivalents).

The warrants described above were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”), and have not been registered under the Securities Act or any state securities laws. As a result, the warrants and underlying shares of common stock may not be offered or sold in the United States unless an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws is used.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

Cyclo Therapeutics, Inc. is a clinical-stage biotechnology company dedicated to developing life-changing medicines through science and innovation for patients and families living with disease. The Company’s Trappsol® Cyclo™, an orphan drug designated product in the United States and Europe, is the subject of four formal clinical trials for Niemann-Pick Disease Type C, a rare and fatal genetic disease.

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