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NEW YORK - Lucid Diagnostics Inc. (NASDAQ:LUCD), a medical diagnostics company specializing in cancer prevention, announced the completion of a significant stock sale on Monday. The stock, which has gained over 67% in the past six months despite recent volatility, closed its registered direct offering as a subsidiary of PAVmed Inc. (NASDAQ:PAVM), selling 13,939,331 shares at $1.10 each. InvestingPro data shows the company’s market capitalization stands at $72 million, with analysts maintaining a strong buy consensus.
The transaction generated gross proceeds of around $15.3 million for Lucid. After accounting for placement agent fees and other expenses, which totaled approximately $0.8 million, the net proceeds will be directed towards working capital and general corporate purposes. This funding comes at a crucial time, as InvestingPro analysis indicates the company is quickly burning through cash, with a significant negative EBITDA of -$43.6 million in the last twelve months. Subscribers to InvestingPro can access 10 additional key insights about Lucid’s financial health and growth prospects.
Canaccord Genuity served as the exclusive placement agent for the offering. The shares were offered under a registration statement that was declared effective by the Securities and Exchange Commission on December 6, 2022. Details of the offering, including a final prospectus supplement, have been filed with the SEC and are accessible on its website.
Lucid Diagnostics operates in the cancer prevention space, targeting patients with gastroesophageal reflux disease (GERD) who are at an elevated risk of developing esophageal precancer and cancer. The company’s EsoGuard® Esophageal DNA Test, used alongside the EsoCheck® Esophageal Cell Collection Device, provides a noninvasive method for early detection of esophageal precancer in these at-risk patients. These tools are the first and only commercially available products designed for this purpose.
The news of the completed offering comes as part of Lucid’s ongoing efforts to strengthen its financial position and support its operational objectives. While the company’s revenue grew by 179% in the last twelve months, InvestingPro research indicates challenging gross profit margins of -53%. For comprehensive analysis including Fair Value estimates and detailed financial metrics, investors can access the full Pro Research Report, available exclusively to InvestingPro subscribers. This information is based on a press release statement from Lucid Diagnostics and InvestingPro data.
In other recent news, Lucid Diagnostics Inc. has secured approximately $15.3 million through a stock sale, selling over 13 million shares at $1.10 each. The offering, facilitated by Canaccord Genuity, aims to bolster the company’s working capital and support general corporate functions. Additionally, Lucid Diagnostics has terminated its "at the market" equity offering, which initially allowed for the sale of up to $6.5 million but raised only about $292,790. This decision suggests a potential shift in the company’s financing strategy. In another development, Lucid Diagnostics has regained compliance with Nasdaq’s minimum bid price rule by maintaining a closing bid price of at least $1.00 per share for 10 consecutive trading days. The company also announced a new partnership with LEAA Health, marking its entry into the concierge medicine space. This collaboration allows LEAA Health’s members to access Lucid’s EsoGuard Esophageal DNA Test, aligning with a trend towards prevention-focused healthcare. These developments reflect Lucid Diagnostics’ ongoing strategic efforts to expand its market presence and ensure regulatory compliance.
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