On April 13, 2020 SCYNEXIS, Inc. (NASDAQ: SCYX), a biotechnology company pioneering innovative medicines to overcome and prevent difficult-to-treat and drug-resistant infections, reported that it has entered into a Common Stock Purchase Agreement ("Purchase Agreement") of up to $20 million with Aspire Capital Fund, LLC ("Aspire Capital") (Press release, Scynexis, APR 13, 2020, View Source [SID1234556263]).

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Under the terms of the agreement, SCYNEXIS has the right to sell to Aspire Capital, from time to time and in its sole discretion, up to $20 million in shares of SCYNEXIS’s common stock over the next 30 months, subject to certain limits.

There are no warrants, options, financing swaps, derivatives or other securities associated with this Purchase Agreement. SCYNEXIS will control the timing and amount of sales of common stock to Aspire Capital, if any. There are no limitations on use of proceeds, financial or business covenants, restrictions on future financings, rights of first refusal, participation rights, penalties or liquidated damages in the Purchase Agreement. In addition, the Purchase Agreement may be terminated by SCYNEXIS at any time, at its discretion, without any cost to SCYNEXIS.

"We are excited to enter into this agreement with Aspire Capital, a well-established, healthcare-focused institutional investor. The deal provides us with significant flexibility to efficiently bolster our balance sheet and further support the advancement of ibrexafungerp’s clinical programs and commercialization preparedness," said Marco Taglietti, M.D., President and Chief Executive Officer of SCYNEXIS. "This agreement, coupled with our strong cash position entering 2020 and the $10 million in proceeds from our recent sale of convertible notes, positions us well as we look to achieve key milestones in 2020 and beyond."

"Ibrexafungerp is a promising novel antifungal with a recent series of positive clinical trial read-outs. Additionally, SCYNEXIS is on the cusp of an important catalyst with the pending release of top-line data from its second Phase 3 trial for the treatment of vaginal yeast infections," stated Steven G. Martin, managing member of Aspire Capital. "Aspire Capital is pleased to partner with SCYNEXIS at this transformational time for the company as it plans for NDA submission later this year and commercial launch in 2021."

As consideration for Aspire Capital’s obligation under the Purchase Agreement, SCYNEXIS issued 709,103 shares to Aspire Capital as a commitment fee. SCYNEXIS also entered into a registration rights agreement with Aspire Capital in connection with its entry into the Purchase Agreement. A complete and detailed description of the Purchase Agreement and the related registration rights agreement is set forth in SCYNEXIS’s Current Report on the Form 8-K filed today with the U.S. Securities and Exchange Commission (SEC).

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities nor will 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 registration or qualification under the securities laws of any such state or other jurisdiction.