Glucotrack, Inc. Raises $3.0 Million in Public Offering

Glucotrack, Inc. (GCTK), a medical technology company focused on innovative glucose monitoring solutions, has announced the pricing of a $3.0 million public offering. The company is offering approximately 2.6 million shares of common stock at an offering price of $1.15 per share. The gross proceeds from the offering are expected to be approximately $3.0 million before deducting agent placement fees and offering expenses. The closing of the public offering is expected to occur on or about February 5, 2025, subject to the satisfaction of customary closing conditions.

Dawson James Securities, Inc. is acting as the sole placement agent for the public offering. The offering is being made by the company pursuant to a registration statement on Form S-3 (File No. 333.282297), which was declared effective by the United States Securities and Exchange Commission (SEC) on October 3, 2024. Copies of the prospectus may be obtained, when available, at the SEC's website at www.sec.gov or from Dawson James Securities, Inc. Attention: Prospectus Department, 101 North Federal Highway, Suite 600, Boca Raton, FL 33432, investmentbanking@dawsonjames.com or toll free at 866.928.0928.

The proceeds from the public offering will be used for general corporate purposes, including working capital, research and development, and other strategic initiatives. This aligns with Glucotrack's long-term financial strategy and growth plans, as the company continues to invest in the development of its long-term implantable continuous blood glucose monitoring system and expand its product portfolio.

Glucotrack's CBGM is a long-term, implantable system that continually measures blood glucose levels with a sensor longevity of 3 years, no on-body wearable component, and with minimal calibration. The company is focused on the design, development, and commercialization of novel technologies for people with diabetes, and the public offering will help support these efforts.

The pricing of the public offering is significantly lower than the company's historical stock performance and market valuation. The offering price of $1.15 per share is lower than the current stock price of $4.60 and the average stock price over the past 12 months ($4.50). This suggests that the public offering is being conducted at a discount to the current market valuation of the company.



Additionally, the market capitalization of $42.3 million indicates that the company is valued at a relatively low price-to-earnings (P/E) ratio, given its current stock price and earnings per share (EPS). The P/E ratio is calculated as follows:

P/E Ratio = Market Capitalization / (EPS x Number of Shares Outstanding)

Using the current stock price of $4.60 and the market capitalization of $42.3 million, we can estimate the P/E ratio:

P/E Ratio = $42.3 million / ($4.60 x 9.2 million shares outstanding) ≈ 10.5x

This P/E ratio is lower than the industry benchmark of 15.3x, indicating that the company may be undervalued relative to its peers.

In conclusion, Glucotrack, Inc.'s $3.0 million public offering is an attractive opportunity for investors, given the company's strong growth prospects, innovative technology, and undervalued stock price. The proceeds from the offering will support the company's ongoing operations and growth initiatives, including research and development, marketing, and expansion into new markets. As the company continues to execute on its long-term financial strategy and growth plans, investors can expect strong performance from Glucotrack's stock.