Sale of convertible preferreds via Viriathus, John Carris Investments
By Jennifer Chiou
New York, Oct. 22 - Fibrocell Science, Inc. announced that it has thus far taken in $1.16 million in its $1.61 million private placement of 6% series B convertible preferred stock, leaving $450,000 of subscription proceeds to go. In July, the company announced a $2.7 million sale of the preferreds.
In all, the company entered into purchase agreements in September and October to sell 1,613 preferreds at $1,000 each.
Investors also will receive warrants for 2,688,334 common shares, which are exercisable at $0.8054 per share until July 19, 2015. The exercise price represents a 46.44% premium to the company's closing share price on Thursday.
Each 6% preferred is convertible into common shares at an initial conversion price of $0.60 per share. The conversion price marks a 9.09% premium to the same closing price.
Proceeds are planned for working capital purposes.
Viriathus Capital LLC and John Carris Investments LLC are co-placement agents.
Fibrocell is a biotechnology company based in Exton, Pa.
| Issuer: | Fibrocell Science, Inc.
|
| Issue: | Series B convertible preferred stock
|
| Amount: | $1,613,000
|
| Shares: | 1,613
|
| Price: | $1,000
|
| Dividends: | 6%
|
| Conversion price: | $0.60
|
| Warrants: | For 2,688,334 shares
|
| Warrant expiration: | July 19, 2015
|
| Warrant strike price: | $0.8054
|
| Agents: | Viriathus Capital LLC and John Carris Investments LLC
|
| Announcement date: | July 16
|
| Settlement date: | Oct. 21 (for $1.16 million)
|
| Stock symbol: | OTCBB: FCSC
|
| Stock price: | $0.55 at close Oct. 21
|
| Market capitalization: | $10.48 million
|
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