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WallachBeth Capital Announces bioAffinity Technologies Warrant Inducement for Aggregate Gross Proceeds of $1.4 Million

1. BIAF enters warrant exercise agreements with accredited investors. 2. Generates approx $1.4M in gross cash proceeds from exercised warrants. 3. Reduces existing warrant exercise price from $1.50 to $0.58. 4. Issues new warrants covering 120% of exercised shares at $0.85. 5. Closing expected Feb 26, subject to customary conditions.

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FAQ

Why Bullish?

The capital infusion and significant reduction of the warrant price can boost investor confidence, as seen in past similar transactions. However, the issuance of dilutive new warrants demands caution despite the positive liquidity signal.

How important is it?

The warrant exercise event is materially significant due to the associated capital raise and potential dilution impacts. Investors will closely monitor this development for near-term price movements and alterations in outlook.

Why Short Term?

Immediate cash proceeds and adjusted warrant terms will affect near-term price action; historical warrant exercises have shown short-term volatility. Market reactions typically occur quickly after such capital events.

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BIAFW
JERSEY CITY, N.J., Feb. 25, 2025 /PRNewswire/ -- WallachBeth Capital LLC, a leading provider of capital markets and institutional execution services, announced today that bioAffinity Technologies, Inc. (NASDAQ: BIAF and BIAFW) has entered into warrant exercise agreements with three existing accredited investors to exercise certain outstanding warrants to purchase an aggregate of 2,438,473 of the Company's shares of common stock (the "Existing Warrants"). In consideration for the immediate exercise in full of the Existing Warrants for gross cash proceeds of approximately $1.4 million, the exercising holders will receive in a private placement new unregistered warrants (the "New Warrants") to purchase up to an aggregate of 2,926,168 shares of common stock (equal to 120% of the shares of common stock issued in connection with the exercise of the Existing Warrants) with an exercise price of $0.85 per share. The New Warrants are initially exercisable on the date that stockholder approval of the exercise of the New Warrants is obtained and will expire five years from the date of such approval. In connection with the exercise of the Existing Warrants, the Company agreed to reduce the exercise price of the Existing Warrants from $1.50 to $0.58 per share. The exercise of the Existing Warrants and the issuance of the New Warrants are expected to occur on February 25, 2025. The closing of the offering is expected to occur on or about February 26, 2025, subject to the satisfaction of customary closing conditions. The gross proceeds from the warrant inducement are expected to be approximately $1.4 million, excluding any proceeds that may be received upon the exercise of the  New Warrants and before deducting placement agent fees and other offering expenses payable by the Company. WallachBeth Capital is acting as sole placement agent for the for the warrant inducement transaction. This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sales of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. About WallachBeth Capital LLC WallachBeth Capital offers a robust range of capital markets and investment banking services to the healthcare community, connecting corporate clients with leading institutions, supporting issuers and investors in achieving their financial goals. The firm's experience includes initial public offerings, follow-on issues, PIPE offerings, and private transactions and ATM's. Forward-Looking StatementsThis press release contains forward-looking statements, including statements regarding the anticipated exercise of warrants, the anticipated gross proceeds from the Company's offering of securities and the expected closing of the offering. Forward-looking statements can be identified by words such as "believes," "expects," "estimates," "intends," "may," "plans," "will" and similar expressions, or the negative of these words. Such forward-looking statements are based on facts and conditions as they exist at the time such statements are made and predictions as to future facts and conditions. Readers of this press release are cautioned not to place undue reliance on any forward-looking statements. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company's control. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to the Company's ability to close the offering and risks and uncertainties included under the heading "Risk Factors" in the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other reports filed with the SEC from time to time. The Company does not undertake any obligation to update any forward-looking statement relating to matters discussed in this press release, except as may be required by applicable securities laws. SOURCE WallachBeth Capital LLC

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