By Devika Patel
Knoxville, Tenn., Nov. 17 – Neovasc Inc. said it sold $32.75 million of 0% senior secured convertible notes in a private placement that raised gross proceeds of $27,837,500. Canaccord Genuity Inc. was the agent for the offering, which priced Nov. 9.
The 18-month notes were issued at a price of $850 per $1,000 of notes.
The investors also received warrants, which are each exercisable at $1.61 for five years.
Concurrently with the placement, the company sold of 6,609,588 series A units of a common share and warrants and 19,066,780 series B units of a common share and warrants at $1.46 per unit for $37,487,497. Canaccord Genuity Inc. was the bookrunner for this sale.
Proceeds from both deals will be used to pay the $42 million balance of the damages and interest awards granted in the litigation with CardiAQ, with remaining funds used to partially fund the ongoing Tiara clinical program, support the completion of the TIARA-II study and for general corporate purposes.
Neovasc is a Richmond, B.C.-based medical device company.
| Issuer: | Neovasc Inc.
|
| Issue: | Senior secured convertible notes
|
| Amount: | $32.75 million
|
| Maturity: | 18 months
|
| Coupon: | 0%
|
| Price: | $27,837,500 ($850 per $1,000 of notes)
|
| Warrants: | Yes
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $1.61
|
| Agent: | Canaccord Genuity Inc.
|
| Pricing date: | Nov. 9
|
| Settlement date: | Nov. 17
|
|
|
| Distribution: | Private placement
|
|
|
|
|
© 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.
