Deal sells 263,160 units of an American Depository Share, 0.4 warrants
By Devika Patel
Knoxville, Tenn., Dec. 31 - RedHill Biopharma Ltd. negotiated a $2.5 million private placement of units with Broadfin Capital LLC, according to a 6-K filed Tuesday with the Securities and Exchange Commission. The deal is being conducted on the same terms as the company's $6 million private placement of units with OrbiMed Israel Partners LP that priced on Dec. 30.
The company will sell 263,160 units of one American Depository Share and 0.4 warrants at $9.50 per unit.
The whole three-year warrants are each exercisable at $11.00 per ADS. The strike price is a 0.92% premium to the Dec. 30 closing share price of $10.90.
Settlement is expected Jan. 11.
Proceeds will be used for general working capital and for research and development, including the clinical development of RedHill's lead gastrointestinal programs, RHB-104 for Crohn's disease and RHB-105 for H. pylori infection, both currently undergoing Phase III studies.
The biopharmaceutical company is based in Tel Aviv, Israel.
| Issuer: | RedHill Biopharma Ltd.
|
| Issue: | Units of one American Depository Share and 0.4 warrants
|
| Amount: | $2.5 million
|
| Units: | 263,160
|
| Price: | $9.50
|
| Warrants: | 0.4 warrants per unit
|
| Warrant expiration: | Three years
|
| Warrant strike price: | $11.00
|
| Investor: | Broadfin Capital LLC
|
| Pricing date: | Dec. 31
|
| Settlement date: | Jan. 11
|
| Stock symbol: | Nasdaq: RDHL
|
| Stock price: | $10.90 at close Dec. 30
|
| Market capitalization: | $71.09 million
|
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