By Sheri Kasprzak
Atlanta, June 14 - Minrad International, Inc. said it closed a private placement for $7,035,000.
The company sold 7,035 shares of series A convertible preferred stock at $1,000 each.
The preferreds pay an annual dividend at 6% and are convertible into a total of 3,517,500 common shares.
The investors also received warrants for 1,758,750 common shares at $3.85 each for three years.
A total of $5.6 million of the proceeds from the offering will be used to expand Minrad's anesthesia and analgesia plant in Bethlehem, Pa., to launch and support new real-time image guidance products, develop a conscious sedation system and repay outstanding debt. The remainder will be used for working capital and general corporate purposes.
Based in Buffalo, N.Y., Minrad is an acute care, medical device and pharmaceutical company.
| Issuer: | Minrad International, Inc.
|
| Issue: | Series A convertible preferred stock
|
| Amount: | $7,035,000
|
| Shares: | 7,035
|
| Price: | $1,000
|
| Conversion ratio: | Into 3,517,500 common shares
|
| Dividend: | 6%
|
| Warrants: | For 1,758,750 common shares
|
| Warrant expiration: | Three years
|
| Warrant strike price: | $3.85
|
| Settlement date: | June 10
|
| Stock price: | $3.75 at close June 10
|
|
|
© 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.
