Gevo announced that it has agreed to sell 30,000,000 common stock units. Each common stock unit consists of one share of common stock and a warrant to purchase 0.5 shares of common stock, at a public offering price of $0.60 per common stock unit. Each warrant included in a common stock unit will have an exercise price of $0.85 per share, will be exercisable from the date of original issuance and will expire on August 5, 2019. The shares of common stock and the warrants will be immediately separable and will be issued separately. The gross proceeds to Gevo from this offering are expected to be approximately $18 million, not including any future proceeds from the exercise of the warrants.
Gevo currently intends to use the net proceeds from the offering, excluding any future proceeds from the exercise of the warrants, to fund capital to complete the side-by-side configuration of its Luverne, MN facility, to fund working capital and for other general corporate purposes.