In a statement, the company said it sold 1.3 million shares at an on-the-market price of $7.52 each.
Additionally, in a concurrent private placement, Arcadia issued unregistered warrants to purchase up to 659,414 shares of common stock, representing 50% of the shares of common stock purchased in the direct offering.
Each warrant was sold at a price of $0.125 per underlying share for gross proceeds of about $82,000. Each warrant has an exercise price of $7.52 per share, exercisable immediately, and will expire five and one-half years from the issuance date.
Arcadia said it intends to use the net proceeds for general corporate purposes and to pursue a range of near-term growth opportunities -- such as the acquisition of hemp germplasm, breeding and research, and a scale-up of its flagship GoodWheat portfolio of wheat flour products.
"The proceeds of this financing, coupled with just over $5 million in cash we received from warrant exercises over the past week by investors from prior financings, meaningfully improves our cash position and better enables us to pursue a broad range of growth opportunities in the near term," said Arcadia CEO Matthew Plavan.
Arcadia, based in Davis, California, is an agricultural biotech company that develops high-value food ingredients and nutritional oils that aim to meet the demand for healthier diets. It also produces a GMO soybean.
The company’s stock recently traded up 1.7% to $6.51 per share.
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