CHARLOTTESVILLE, Va., May 24, 2019 (GLOBE NEWSWIRE) -- Diffusion Pharmaceuticals Inc. (Nasdaq: DFFN) announced that it has entered into a definitive securities purchase agreement with certain institutional investors to purchase in a registered direct offering 1,317,060 shares of the Company’s common stock, at a price of $4.77 per share, for aggregate gross proceeds of approximately $6.28 million. The Company also agreed to issue 1,317,060 unregistered warrants to the institutional investors in a concurrent private placement to purchase one share of common stock for each share of common stock purchased with an exercise price of $5.00 per share for aggregate gross proceeds of approximately $165 thousand. The warrants will be exercisable upon issuance and will expire five and a half years following the date of issuance. The closing of the sale of the securities is expected to take place on or about May 28, 2019, subject to the satisfaction of customary closing conditions.

H.C. Wainwright & Co. is acting as the exclusive placement agent in connection with the registered direct offering and the concurrent private placement.

Diffusion currently intends to use the net proceeds from the offering to fund research and development of our lead product candidate, TSC, including clinical trial activities, and for general corporate purposes.

About Diffusion Pharmaceuticals Inc.

Diffusion Pharmaceuticals Inc. is an innovative biotechnology company developing new treatments that improve the body’s ability to bring oxygen to the areas where it is needed most, offering new hope for the treatment of life-threatening medical conditions.