Chembio Diagnostics’ $12 Million Initial Public Offering


Faegre Baker Daniels advisee Craig-Hallum Capital Group LLC acting as the sole book-running manager on the offering

Chembio Diagnostics, Inc. (CEMI) (“Chembio”), a leader in point-of-care diagnostic tests for infectious diseases, announced today the pricing of its previously announced underwritten registered public offering of 1,783,760 shares of its common stock at a public offering price of $6.75 per share for gross proceeds of approximately $12.0 million. The net proceeds, after underwriting discounts and commissions, but before estimated expenses of the offering payable by Chembio, are expected to be approximately $11.2 million. All shares of common stock to be sold in the offering will be offered by Chembio. The offering is expected to close on or about February 13, 2018, subject to the satisfaction of customary closing conditions.

Chembio intends to use the net proceeds from the offering for business expansion and working capital, including product development, operational expansion or improvements, such as new automated equipment and a facilities update, clinical trials and other related activities, and sales and marketing.

Jon Zimmerman (Picture), the head of FaegreBD’s capital markets practice, together with Morgan Burns, Ben Stacke and Ryan Woessner, led the deal teams for the offerings, along with Elena Simion, Jonny Nemani and Sarah Bartlett.

Involved fees earner: Ben Stacke – Faegre Baker Daniels; Jonathan Zimmerman – Faegre Baker Daniels; Ryan Woessner – Faegre Baker Daniels; Elena Simion – Faegre Baker Daniels; Morgan Burns – Faegre Baker Daniels; Sarah Bartlett – Faegre Baker Daniels;

Law Firms: Faegre Baker Daniels;

Clients: Craig-Hallum Capital Group LLC;

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Author: Ambrogio Visconti