EMERYVILLE, Calif.—NovaBay Pharmaceuticals, Inc. (NYSE American: NBY),  a biopharmaceutical company developing products for the eyecare market, has announced the closing of its previously announced underwritten public offering of common stock, pre-funded warrants, Series F-1 warrants, Series F-2 warrants and Series F-3 warrants for gross proceeds of approximately $3.87 million, prior to deducting underwriting discounts and commissions and offering expenses. The offering proceeds include partial exercise of the underwriter’s over-allotment option to purchase additional shares of common stock, Series F-1 warrants, Series F-2 warrants and Series F-3 warrants, the company said.

According to the announcement, the offering consisted of a total of 1,158,566 shares of common stock, pre-funded warrants to purchase up to 2,041,814 shares of common stock, Series F-1 warrants to purchase up to 3,200,380 shares of common stock, Series F-2 warrants to purchase up to 3,200,380 shares of common stock and Series F-3 warrants to purchase up to 3,200,380 shares of common stock.

Each share of common stock (and each pre-funded warrant in lieu thereof) was sold together with one Series F-1 warrant to purchase one share of common stock, one Series F-2 warrant to purchase one share of common stock and one Series F-3 warrant to purchase one share of common stock. The Series F-1 warrants have an exercise price of $1.10 per share, are exercisable immediately upon issuance, and will expire five years following the date of issuance. The Series F-2 warrants have an exercise price of $1.10 per share, are exercisable immediately upon issuance, and will expire six months following the date of issuance. The Series F-3 warrants have an exercise price of $1.10 per share, are exercisable immediately upon issuance, and will expire one year following the date of issuance.

The pre-funded warrants will be immediately exercisable at a nominal exercise price of $0.01 per share and may be exercised at any time until all of the pre-funded warrants are exercised in full. The Series F-1 warrants, the Series F-2 warrants and the Series F-3 warrants each include a one-time reset of the exercise price to a price equal to the lesser of (i) the then exercise price and (ii) 90 percent of the five-day volume weighted average prices for the five trading days immediately preceding the date that is 60 calendar days after issuance of the Series F-1 warrants, the Series F-2 warrants and the Series F-3 warrants, as applicable, the company said.

NovaBay said that it currently intends to use the net proceeds of the offering to redeem the outstanding principal amount of its Original Discount Senior Secured Convertible Debentures due on November 1, 2024, and for working capital and general corporate purposes.