Equity sold to Lambda at same price as $1.99 million rights offering
By Devika Patel
Knoxville, Tenn., March 4 - Nephros, Inc. said it arranged a private placement of units. The deal will take in $1.2 million.
Lambda Investors, LLC, Nephros' largest stockholder, will purchase 60,194,266 units of one common share and a warrant for 0.924532845 shares at $0.02 per unit. Each whole warrant is exercisable at $0.02 per share for five years. The strike price is a 50% discount to the March 3 closing share price of $0.04.
The company also said it finalized a rights offering on March 3, selling the same units to stockholders at the same price. Each subscription right entitles a shareholder to buy 4.185496618 units. The company sold 99,297,082 units in the rights offering for $1.99 million.
Settlement of both financings is expected March 10.
"The proceeds from these transactions will provide Nephros with funds to pursue the further development and commercialization of our filtration products," chairman James S. Scibetta said in a press release.
Nephros is a New York-based medical device company.
Issuer: | Nephros, Inc.
|
Issue: | Units of one common share and a warrant for 0.924532845 shares
|
Amount: | $1,203,885
|
Units: | 60,194,266
|
Price: | $0.02
|
Warrants: | One warrant for 0.924532845 shares per unit
|
Warrant expiration: | Five years
|
Warrant strike price: | $0.02
|
Investor: | Lambda Investors, LLC
|
Announcement date: | March 4
|
Settlement date: | March 10
|
Stock symbol: | OTCBB: NEPH
|
Stock price: | $0.04 at close March 3
|
© 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.