Medical aesthetics company Elevai Labs Inc. priced a public offering of stock anticipated to raise about $8 million, before fees and expenses.
Elevai (Nasdaq: ELAB) is based in Newport Beach but has its primary labs and development facilities in Folsom.
The company makes skin care products with stem-cell growth factors used in medical aesthetics treatments.
Elevai shares fell 17 cents, or 62%,, to close at 10.6 cents on Monday after the news. The offering was priced at 28 cents per share, which was Elevai's closing price on Friday.
The company said it intends to use the proceeds from the offering for general corporate purposes, including working capital and investments, according to a news release. The offering is expected to close on or about Tuesday, subject to customary closing conditions.
Univest Securities LLC of New York is acting as sole placement agent for the offering.
The new offering is comprised of 28.6 million shares of the company’s common stock or pre-funded warrants in lieu of shares of common stock.
Elevai was founded in 2020, and went public last November with a $6 million offering.
Its high-end products are distributed through physicians’ offices directly to patients for post-treatment skin support and ongoing daily aftercare following treatments.
The company works with stem cell exosome technology. Exosomes are components of cell vesicles that contain nucleic acids, proteins, fats and metabolites needed for cell function and reproduction.
