Ashley House to sell 3.5 million shares; Opexa wraps initial tranche of convertible placement

By Stephanie N. Rotondo

Portland, Ore., April 16 - After a relatively busy day in the previous session, Thursday saw fewer private placements coming to market.

However, of the new issues, most were coming from the health care and health care-related sector.

Ashley House plc plans to raise £2.28 million by selling stock, according to a press release. The company plans to use the funds to further develop product lines associated with a June 2008 acquisition.

Meanwhile, Opexa Therapeutics Inc. closed the first tranche of a private placement of convertible secured notes and warrants. Proceeds will be used to further develop some of the biotechnology company's products.

Ashley House to sell stock

Burnham, England-based Ashley House is planning to raise £2.28 million via a private placement of ordinary shares, the company said.

The health-care facility builder will sell 3.5 million shares at 65p per share to Invesco Perpetual. Upon closing, Invesco will have a 7.4% equity stake in the company.

"Ashley House is now at a very exciting stage of its development," said Sir William Wells, chairman, in a statement. "The proceeds of this placement will allow us to grow the business further and maximize the opportunities being presented to the business in particular through the NHS LIFT market. We look forward to the future with renewed confidence."

Ashley House purchased NHS LIFT in June 2008.

Ashley House's equity (London: ASH) closed at 67.5p.

Opexa settles initial tranche

Opexa Therapeutics wrapped the first tranche of a private placement of secured convertible notes and warrants.

The company raised $1.1 million in the offering of the 10% notes due April 14, 2011. The notes, payable at maturity in either cash or stock, are convertible into common stock at $0.50 per share.

The warrants included in the deal are good for approximately 1.1 million in additional common shares at a strike price of $0.75. The warrants expire April 14, 2013.

Furthermore, the company's assets, except for those attached to Opexa's equipment line with Wells Fargo NA, back the notes, according to a regulatory filing.

Opexa also has the right to require conversion of the notes, assuming certain conditions are met.

Opexa, a developer of cell therapies used to treat such diseases and multiple sclerosis and diabetes, said proceeds from the financing would be used to support its Tovaxin T-Cell and stem cell programs.

"We are grateful for the support of our shareholders and their continued belief in the company," commented Neil K. Warma, Opexa's president and chief executive officer, in a press release. "It is a testament to the true potential of the novel therapies we are developing, especially given the difficult and uncertain capital market conditions facing the industry. We have been advancing well with our partnering activities over the past several months and meaningful discussions are continuing on both the Tovaxin therapy for MS and the stem cell therapy for diabetes. This financing will allow us to extend our runway beyond August 2009, such that we can continue our dialogue with the aim of securing a partnership.

"We are also grateful for all the patient support and testimonials that we have received over the past several months from patients enrolled in the TERMS IIb clinical study that was successfully completed in 2008," Warma continued. "We remain determined to bringing safe and effective treatments rapidly to market."

Opexa's stock (Nasdaq: OPXA) gained three cents, or 7.69%, to $0.42. Market capitalization is $5.03 million.

Opexa Therapeutics is based in The Woodlands, Texas.

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