Deal sells stock, preferreds along with warrants for 51,075,268 shares
By Devika Patel
Knoxville, Tenn., Nov. 29 - Applied DNA Sciences, Inc. arranged a $7.5 million private placement of stock and series A convertible preferred stock with Crede CG II, Ltd. on Nov. 28, according to an 8-K filed Thursday with the Securities and Exchange Commission. It settled the $2 million stock portion on Nov. 29.
The company sold 10,752,688 common shares at $0.186 apiece. The price per share is a 2.11% discount to the Nov. 27 closing share price of $0.19 and also was the consolidated closing bid price of the stock on the day prior to pricing, the company noted in the filing.
The investor also will buy 5,500 preferreds at $1,000 per preferred. The preferreds convert to common stock at a fixed conversion price of $0.186 (the price-per share of the stock sold in the placement) or a non-fixed conversion price, which will be equal to the consolidated closing bid price of the stock on the trading day preceding conversion.
Crede also received warrants, each exercisable at $0.2232, a 17.47% premium to the Nov. 27 closing price. The five-year series A warrants are exercisable for 10,752,688 shares; the five-year series B warrants are exercisable for 29,569,892 shares and the six-month series C warrants are exercisable for 10,752,688 shares.
Stony Brook, N.Y.-based Applied DNA Sciences provides patented DNA-based technologies to prevent and identify counterfeits.
| Issuer: | Applied DNA Sciences, Inc.
|
| Issue: | Common stock, series A convertible preferred stock
|
| Amount: | $7.5 million
|
| Warrants: | For 51,075,268 shares
|
| Warrant expiration: | Five years (for 40,322,580 shares), six months (for 10,752,688 shares)
|
| Warrant strike price: | $0.2232
|
| Investor: | Crede CG II, Ltd.
|
| Pricing date: | Nov. 28
|
| Stock symbol: | OTCBB: APDN
|
| Stock price: | $0.19 at close Nov. 27
|
| Market capitalization: | $132.42 million
|
|
|
| Common shares
|
| Amount: | $2 million
|
| Shares: | 10,752,688
|
| Price: | $0.186
|
| Settlement date: | Nov. 29
|
|
|
| Preferreds
|
| Amount: | $5.5 million
|
| Preferreds: | 5,500
|
| Price: | $1,000
|
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