Biopharmaceutical company Catabasis Pharmaceuticals Inc (NASDAQ:CATB) said on Wednesday that it has priced its public offering of an aggregate of 4,000,000 units at a public offering price of USD5.00 per unit.

Each unit is comprised of one share of common stock and 0.5 of a warrant to purchase one share of common stock from the company for a total of 4,000,000 shares of common stock and warrants to purchase 2,000,000 shares of common stock. Each warrant will have an exercise price of USD6.25 per share and is exercisable immediately. The warrants will expire five years from the date of issuance.

Prior to deducting the underwriting discount and other estimated offering expenses, the company expects gross proceeds of the offering of approximately USD20.0m.

Net proceeds may be used by the company for clinical trial and research and development activities, continued growth of its manufacturing capabilities, initial investments in commercial and medical affairs infrastructure to support its transition to a commercial-stage company, working capital as well as other general corporate purposes.

Oppenheimer & Co Inc is acting as sole underwriter for the offering. The offering is expected to close on or about 8 February 2019, subject to closing conditions.