By Devika Patel
Knoxville, Tenn., March 16 - IGI Laboratories, Inc. said it completed a $6 million private placement of securities.
The deal consisted of 253 series B-1 convertible preferred shares and $4.48 million in secured convertible promissory notes along with an unspecified number of warrants.
Each preferred is convertible into 14,634 common shares, for an implied common stock conversion price of $0.41 per share.
Upon stockholder approval of the transaction, the promissory notes will convert into 747 series B-1 convertible preferreds. If stockholder approval is not obtained, the promissory notes will become due and the warrants will become exercisable for 747 preferreds at $6,000.00 per preferred.
Rockport Venture Securities, LLC was the agent.
Proceeds will be used to support pharmaceutical product development efforts, as well as other general corporate purposes.
IGI is a pharmaceutical company based in Hillside, N.J.
| Issuer: | IGI Laboratories, Inc.
|
| Issue: | Series B-1 convertible preferred stock, secured convertible promissory notes
|
| Amount: | $6 million
|
| Warrants: | Yes (for 747 preferreds, but exercisable only under certain conditions)
|
| Warrant strike price: | $6,000.00
|
| Agent: | Rockport Venture Securities, LLC
|
| Settlement date: | March 16
|
| Stock symbol: | Amex: IG
|
| Stock price: | $0.58 at close March 13
|
| Market capitalization: | $10.1 million
|
|
|
| Series C convertible preferred stock
|
| Amount: | $1,518,000
|
| Shares: | 253
|
| Conversion price: | $0.41
|
| Conversion ratio: | Into 14,634 shares
|
|
|
| Convertible promissory notes
|
| Amount: | $4,482,000
|
| Conversion ratio: | Into 747 series B-1 convertible preferred shares
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
