New Issue: Novelos Therapeutics settles $9 million placement of stock, warrants

By Devika Patel

Knoxville, Tenn., Nov. 12 - Novelos Therapeutics, Inc. said it took in $5.5 million in the second tranche of a $9 million private placement of shares and warrants. It raised $3.5 million on Aug. 26.

The company sold a total of 13,636,364 common shares to Purdue Pharma LP. Purdue also received warrants for 4,772,730 common shares, exercisable at $0.66 until Dec. 31, 2015.

Purdue bought 5,303,030 shares and warrants for 1,856,062 shares in the first tranche. It bought 8,333,334 shares and warrants for 2,916,668 shares in the second closing.

Novelos is a Newton, Mass.-based biotechnology company.

Issuer:	Novelos Therapeutics, Inc.
Issue:	Common stock
Amount:	$9 million
Shares:	13,636,364
Warrants:	For 4,772,730 shares
Warrant expiration:	Dec. 31, 2015
Warrant strike price:	$0.66
Investor:	Purdue Pharma LP
Pricing date:	Aug. 26
Settlement date:	Aug. 26 (for $3.5 million), Nov. 12 (for $5.5 million)
Stock symbol:	OTCBB: NVLT
Stock price:	$0.80 at close Aug. 25
Market capitalization:	$34.5 million

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