RemoteMDx settles $6.1 million placement; MDRNA plans direct offering; Ireland wraps unit sale

By Stephanie N. Rotondo

Portland, Ore., Jan. 14 - RemoteMDx Inc. said Thursday it had raised $6.1 million from a private placement of preferred shares.

The financing was part of a $21.83 million capitalization effort. In connection with the transaction, the company also completed a debt-for-equity swap.

Meanwhile, MDRNA Inc. brought a $5.5 million registered direct offering of common shares to market. The deal also includes the issuance of warrants, and the funds will be used to repay outstanding debt.

Among other completed financings, Ireland Inc. said it raised nearly $5 million from a private placement of units.

Also in the market, PMI Gold Corp. announced a private placement of stock for a minimum of C$3 million in proceeds.

RemoteMDx settles deal, recapitalization

RemoteMDx took in $6.1 million from a private placement of series D preferred shares, according to a press release.

The financing comes in conjunction with a $21.82 million recapitalization effort. Holders of approximately $15.72 million in existing debt have agreed to swap their holdings for the preferred shares.

The recapitalization exchange is in addition to the private transaction.

"The conversion of more than $15.7 million of debt into equity, combined with a subscribed fresh investment of $6.1 million of new capital, allows us to continue our drive toward the next stage of becoming the leader in interactive and intervention-based offender monitoring services," said John Hastings, president and chief operating officer, in the release.

"This is the latest in a series of substantive capitalization and operational measures targeted at bringing ongoing financial stability to the company, cleaning up the balance sheet, driving profitable revenue growth and in building realized shareholder value."

"I am pleased with the direction in which the company is headed and with the tremendous support from our new investors, committed debt holders and long-term shareholders alike," he continued. "However, it is now time that we reward their continued financial support with sustainable growth, improved margins and overall positive results."

RemoteMDx's equity (OTCBB: RMDX) gained half a cent, or 3.85%, to $0.135. Market capitalization is $28.32 million.

RemoteMDx is a Sandy, Utah-based provider of interactive offender tracking technologies.

MDRNA plans direct offering

MDRNA, a Bothell, Wash.-based biotechnology company focused on the development and commercialization of therapeutic products based on RNA interference, announced a $5.5 million registered direct offering of stock and warrants.

The company will sell approximately 5.38 million common shares at $1.02125 per share. Investors will also receive five-year warrants equal to approximately 3.5 million addition shares.

The warrants are exercisable at $1.00 per share.

Proceeds will be used to repay debt associated with secured promissory notes issued by the company in December. The funds will also be used for working capital and for the advancement of the company's RNAi drug discovery platform and preclinical oncology program.

Settlement is expected by Jan. 19.

Calls seeking comment were not returned Thursday.

MDRNA's stock (Nasdaq: MRNA) dropped 36 cents, or 25.90%, to $1.03. Market capitalization is $41.99 million.

Ireland wraps unit sale

Henderson, Nev.-based Ireland settled a $4.9 million private placement of units, the company announced.

The precious metals exploration company issued approximately 11.03 million units at $0.45 each. The units contained one common share and one half-share warrant. Whole warrants are exercisable at $0.75 until June 30, 2013.

Proceeds will be used to accelerate the next phase of the Columbus project.

"In addition to this latest capital raise, we completed a $6.25 million equity financing in the fourth quarter of 2009 that will provide the funds required to modify and operate the company's pilot production facility through the first quarter of 2011," stated Douglas D. G. Birnie, chief executive officer of Ireland, in a press release. "We elected to raise the additional $4.9 million in order to accelerate our technical drilling and sampling programs and continue with the pursuit of other corporate objectives.

"In 2010 we will focus on operating our onsite pilot plant facility and further defining the Columbus Project's resources," he added. "The minor modifications necessary to implement the leaching component of our precious metals extraction processing circuit are now underway."

"We expect to complete the 'shake-out phase' at the plant this quarter and to commence operation of the facility in the second quarter. We will utilize the onsite pilot plant to complete our prefeasibility study, which is designed to demonstrate the ability of our process to cost-effectively extract precious metals from materials via surface dredge mining at the Columbus Project," Birnie said.

Ireland's equity (OTCBB: IRLD) improved by 3 cents, or 3.26%, to $0.95. Market capitalization is $105.35 million.

PMI aims for C$3 million

PMI Gold is seeking a minimum of C$3 million from a private placement of equity, the proceeds of which will be used for work at the company's Ghana gold projects.

The Vancouver, B.C.-based company will sell up to 20 million common shares at a minimum price of C$0.15 per share. PMI will pro-rate subscriptions on a first come and highest bid price basis.

In addition to capital expenditures, the proceeds will also be used to commence a prospectus offering in Australia. Once completed, the company could seek up to C$20 million more from Australian investors.

"The terms are a minimum of C$0.15 per share, but we hope to close higher than that," Douglas R. MacQuarrie, president and CEO, told Prospect News.

MacQuarrie said that the company had received some interest from investors prior to the Christmas holidays, but elected to wait until the new year to do any financing. He said he expects the deal to close "as early as two weeks or it could be a month" or more.

"I fully expect gold to start flying," he said. "Nothing like doing a financing when gold" is gaining in price.

PMI's shares (TSX Venture: PMV) dipped 1½ cents, or 10.34%, to C$0.13. Market capitalization is C$25.85 million.

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