Offering sells units with five-year warrants, shares to Lincoln Park
By Devika Patel
Knoxville, Tenn., July 8 - Anavex Life Sciences Corp. settled a private placement of units for $2.56 million and negotiated a $10 million common stock purchase agreement with Lincoln Park Capital Fund, LLC on July 5, according to an 8-K filed Monday with the Securities and Exchange Commission. William Blair & Co., LLC is the agent for the units sale.
The company sold 6,406,043 units of one common share and a warrant at $0.40 per unit.
The warrants are each exercisable at $0.75 for five years. The strike price represents a 17.19% premium to the June 20 closing share price of $0.64.
In the three-year stock purchase agreement, Lincoln Park has already bought 250,000 shares for $100,000. The investor received 341,858 shares as a commitment fee.
Proceeds will be used to help advance human clinical trials of Anavex 2-73 and for general corporate purposes
Anavex is a pharmaceutical company based in Hoboken, N.J.
| Issuer: | Anavex Life Sciences Corp.
|
| Issue: | Units of one common share and a warrant, stock purchase agreement
|
| Amount: | $12,562,417
|
| Pricing date: | July 5
|
| Stock symbol: | OTCBB: AVXL
|
| Stock price: | $0.64 at close July 3
|
| Market capitalization: | $16.81 million
|
|
|
| Units
|
| Amount: | $2,562,417
|
| Units: | 6,406,043
|
| Price: | $0.40
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $0.75
|
| Agent: | William Blair & Co., LLC
|
| Settlement date: | July 5
|
|
|
| Stock purchase agreement
|
| Amount: | $10 million
|
| Tenor: | Three years
|
| Pricing date: | July 5
|
| Settlement date: | July 5 (for $100,000)
|
| Investor: | Lincoln Park Capital Fund, LLC
|
| Fees: | 341,858 shares
|
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