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CTD Holdings, Inc. Reports $2M Private Placement & New Board Appointment

$CYTHW
Form 8-K
Filed on: 2016-06-08
Source
CTD Holdings, Inc. Reports $2M Private Placement & New Board Appointment

Here are the key insights extracted from the provided section of the financial report (Form 8-K):

  1. Company and Report Details:
  • Company: CTD Holdings, Inc.
  • Date of Report: June 6, 2016
  • Filing Type: Form 8-K
  1. Private Placement of Securities:
  • On June 6, 2016, CTD Holdings completed a private placement of securities with accredited investors, including several directors and management members.
  • Units Sold: 8 million Units were sold at a price of $0.25 each.
  • Gross Proceeds: The private placement generated gross proceeds of $2,000,000.
  • Composition of Units: Each Unit consisted of:
    • One share of common stock with a par value of $0.0001.
    • One seven-year warrant to purchase one share of common stock at an exercise price of $0.25.
  1. Regulatory Compliance:
  • The transaction was exempt from the registration requirements under the Securities Act of 1933, specifically pursuant to Section 4(a)(2) and Rule 506 of Regulation D.
  1. Financial Advisory:
  • Scarsdale Equities, LLC acted as the financial advisor for the private placement.
  • The company will pay Scarsdale a fee equal to 6% of the proceeds from the placement and will provide them with seven-year warrants to purchase 480,000 Units at an exercise price of $0.25.
  1. Board Appointment:
  • Effective June 6, 2016, William S. Shanahan was appointed as a director of the Company.
  • Shanahan participated in the private placement, purchasing 400,000 Units for $100,000.
  • No additional arrangements or related party transactions regarding his appointment were disclosed.
  1. Company Announcement:
  • On June 7, 2016, the company issued a press release to announce the completion of the private placement and the appointment of William S. Shanahan to the Board of Directors.
  1. Exhibit Index:
  • The filing includes Exhibit 4.1, which is the Form of Warrant issued in the Private Placement.
  • Exhibit 99.1 contains the press release dated June 7, 2016.

Overall, this 8-K filing provides significant information about a successful capital raising initiative through a private placement, the appointment of a new board member, and regulatory compliance regarding the issuance of securities.