CASI Pharmaceuticals, Inc. will sell about $23.8 million of securities in a registered direct offering to certain institutional and accredited investors, including existing shareholders.

The company agreed to sell about 7,951,868 common shares and warrants to buy common shares. Each unit, consisting of 1 common share and a warrant to buy 0.2 common share will be priced at $3.00.

The warrants have a term of 2.5 years and an exercise price equal to $3.75. They will be exercisable six months after issuance.

CASI expects to receive net proceeds of about $23.3 million from the offering, which is expected to close Oct. 17, subject to satisfaction of customary closing conditions.

Wei-Wu He, the company's chairman, said CASI plans to use the net proceeds to support business development activities and drive continued growth.

HC Wainwright acted as exclusive placement agent in this transaction.