VolitionRx announces $1.9 million stock sale

HENDERSON, Nev. - VolitionRx Limited (NYSE AMERICAN: VNRX), a multi-national epigenetics company whose stock has declined nearly 18% over the past week according to InvestingPro data, has entered into definitive agreements for a registered direct offering of its common stock, potentially raising up to $1.9 million. The transaction includes the sale of 445,648 shares to company insiders at $0.5722 per share, and 2,857,389 shares to other investors at the same price, accompanied by common stock purchase warrants.

The warrants, immediately exercisable and valid for five years, allow the purchase of additional shares at $0.5722 for Form A and $0.71525 for Form B. Insiders participating in the stock purchase will not receive warrants. The offering is anticipated to close around December 9, 2024, pending customary closing conditions.

Volition expects to allocate the net proceeds for research, product development, clinical studies, product commercialization, working capital, and other general corporate purposes. If all warrants are exercised, the company could receive an additional $2.7 million, though there is no guarantee this will occur. InvestingPro data reveals the company's current ratio of 0.22 indicates pressing liquidity needs, while analysts maintain price targets ranging from $2 to $5, suggesting potential upside despite current challenges.

The securities are offered pursuant to a shelf registration statement filed and declared effective by the SEC. Details of the offering will be available in a prospectus supplement filed with the SEC, accessible on the SEC's website.

Volition specializes in developing cost-effective blood tests for the diagnosis and monitoring of diseases, including certain cancers and conditions linked to NETosis, such as sepsis. While the company has achieved impressive revenue growth of 97.5% over the last twelve months according to InvestingPro, it continues to operate at a loss with an EBITDA of -$28.87 million. The company operates research and development primarily in Belgium, with additional facilities in the U.S., Nevada, London, and Singapore. Discover more detailed insights and 6 additional ProTips with an InvestingPro subscription.

This press release is not an offer to sell or a solicitation of an offer to buy securities in any jurisdiction where such offer, solicitation, or sale would be unlawful before registration or qualification under the securities laws of any such jurisdiction.

The information provided is based on a press release statement from VolitionRx Limited.

In other recent news, VolitionRx Limited reported significant growth in its Q3 earnings call. The company saw a 100% increase in year-to-date revenue, with sales from its Nu.Q Vet cancer tests playing a substantial role in this growth. The sales of these tests surpassed 110,000 in the first three quarters of 2024, almost doubling the total sales of the previous year. VolitionRx is confident in achieving cash neutrality by 2025, with a reported $1 million in revenue for the nine months ending September 30, 2024.

In terms of recent developments, the company has made significant strides in human diagnostics. A large lung cancer detection study is currently under peer review, and a prospective validation study is set to begin in Taiwan. Partnerships with companies like Fujifilm and Heska (NASDAQ:HSKA) have aided in launching the Nu.Q Vet test in various markets.

Looking ahead, VolitionRx anticipates roughly $6 million in revenues for the next year, with each business segment expected to support itself financially by 2025. The company also expects to release two major publications related to human cancer studies in the near future. However, VolitionRx noted that revenue can be unpredictable at this stage, with fluctuations in sales as they establish a smoother revenue trend.

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