Lucid Diagnostics Announces Closure of $21.95 Million Senior Secured Convertible Notes Offering

Lucid Diagnostics Inc. recently completed the sale of $21.95 million in principal amount of Senior Secured Convertible Notes, referred to as the 2024 Convertible Notes. This offering, which took place on November 22, 2024, was conducted through a private placement to accredited investors.

The transaction, as part of a Securities Purchase Agreement dated November 12, 2024, saw the participation of accredited investors, collectively known as the 2024 Note Investors. The company garnered gross proceeds of $21.95 million in the process. Following the full repayment of the 2023 Convertible Note, Lucid Diagnostics achieved net proceeds of $18.3 million from the sale of the 2024 Convertible Notes.

Detailed terms of the 2024 Convertible Notes were outlined in a Current Report on Form 8-K filed by Lucid on November 12, 2024. The closing of the transaction also involved the establishment of several agreements. These agreements include a Registration Rights Agreement, a Guaranty, and a Security and Pledge Agreement, among others.

A portion of the proceeds from the recent sale was utilized to settle the Senior Convertible Note (2023 Convertible Note) issued pursuant to a Securities Purchase Agreement dated March 13, 2023. Lucid Diagnostics informed the holder of the 2023 Convertible Note of its intent to redeem it on November 8, 2024. The redemption occurred on November 22, 2024, with Lucid paying the Optional Redemption Price of around $3.6 million.

The 2024 Convertible Notes’ offering, and related common stock shares issuance, were exempted from registration requirements under the Securities Act of 1933, given the specific circumstances surrounding the transaction.

The particulars of the 2024 Convertible Notes, 2024 SPA, Registration Rights Agreement, Guaranty, and Pledge Agreement are contained in Forms 4.1, 10.1, 10.2, 10.3, and 10.4, filed as part of Lucid’s Current Report on Form 8-K. These documents are intended to provide shareholders and investors with comprehensive information regarding their terms.

Lucid Diagnostics Inc. is an emerging growth company that focuses on innovative diagnostic solutions. The recent successful completion of the 2024 Convertible Notes offering marks another milestone for the company as it continues to expand its financial capabilities and operations.

In compliance with relevant securities regulations, Lucid Diagnostics has duly furnished this report dated November 29, 2024. Dennis McGrath, the Chief Financial Officer of Lucid Diagnostics Inc., signed the report on behalf of the company.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Lucid Diagnostics’s 8K filing here.

Lucid Diagnostics Company Profile

Lucid Diagnostics Inc operates as a commercial-stage medical diagnostics technology company in the United States. The company focuses on patients with gastroesophageal reflux disease (GERD) who are at risk of developing esophageal precancer and cancer, primarily highly lethal esophageal adenocarcinoma.