Sellas Life Sciences Group (SLS) said Monday an institutional investor exercised warrants to purchase up to around 22.4 million shares for gross cash proceeds of about $31 million.

The investor will receive new registered warrants to purchase up to around 22.4 million shares at an exercise price of $2.00, which will be exercisable immediately and expire five years from the date of issuance, the company said.

The transaction is expected to close on or about Tuesday, Sellas said.

Shares of the company were down more than 2% in early trading Monday.

Price: 1.94, Change: -0.05, Percent Change: -2.51