Sun Communities receives $100 million line; Arena gets investment; Multiband inks equity line

By Stephanie N. Rotondo

Portland, Ore., Aug. 6 - Sun Communities Inc. secured a $100 million two-year equity facility, the company announced Friday.

The funding will allow the company to grow, Sun said in a press release.

Meanwhile, Arena Pharmaceuticals Inc. said it had negotiated a deal with Deerfield Management for a $60 million registered direct offering of equity. Arena intends to use the proceeds, in part, to prepay debt.

Multiband Corp. inked a deal with an investor to provide a $10 million equity line of credit. The company could use the funds to pay down debt and/or to expand its business.

Elsewhere, Australian mining company Apex Minerals NL raised A$5 million via a private placement of stock. Those proceeds will be used primarily for the development of one of the company's properties.

And, SQI Diagnostics Inc. said it was looking to raise C$5 million from a private placement of units. The company will use the proceeds for development purposes.

Sun receives $100 million line

Sun Communities arranged a $100 million two-year committed equity financing facility with REIT Opportunity, Ltd.

The Southfield, Mich.-based company said it will sell common shares at a discount of 3% to 4.75% to the daily volume-weighted average price of the stock on each date during the 10-consecutive-trading-day drawdown period.

"This equity arrangement provides us greater flexibility to access additional capital with low transaction costs if we so choose over the next two years," stated Gary A. Shiffman, chief executive officer, in the release. "It is another available option when seeking to support future growth of the company."

Sun's shares (NYSE: SUI) gained 16 cents, or 0.56%, to $28.97. Market capitalization is $560.63 million.

Sun Communities is a real estate investment trust that owns and operates manufactured housing communities.

Arena gets Deerfield investment

Arena Pharmaceuticals announced a $60 million registered direct offering of equity.

Deerfield Management is the investor.

The San Diego-based company will issue approximately 8.95 million common shares to the investor at $6.70 per share, a 4.97% discount to the $7.05 closing share price on Aug. 5.

Proceeds will be used to prepay debt, for preclinical and clinical development programs and discovery research. Settlement is expected Aug. 10.

The company did not return calls seeking comment on Friday.

Arena's stock (NasdaqL ARNA) improved by 18 cents, or 2.55%, to $7.23. Market capitalization is $731.86 million.

Multiband inks equity line accord

Multiband, a New Hope, Minn.-based provider of voice, data and video systems and services, said it had secured a $10 million equity line of credit from Lincoln Park Capital Fund, LLC.

Under the terms of the agreement, Multiband will sell common shares over a 25-month period in tranches up to $500,000.

There is no fixed discount.

"We are pleased to have signed this funding agreement with LPC, a forward-thinking institutional investor which provides future flexibility," said James L. Mandel, chief executive officer, in a press release.

Proceeds will be used for working capital and for other general corporate purposes, including expansion of operations and reduction of existing debt.

Multiband's equity (Nasdaq: MBND) dropped 15 cents, or 8.1%, to $1.70. Market capitalization is $16.95 million.

Apex seals A$5 million

West Perth, Australia-based Apex Minerals pocketed A$5 million from a private placement of ordinary shares, according to a press release.

The company issued 250 million of the shares at A$0.02 per share. The price per share is equal to the Aug. 5 closing share price.

"The proceeds of the issue will be used to fund a series of operational improvements at Wiluna, including the acquisition of equipment, infrastructure and working capital required as a result of Apex taking over the underground fleet maintenance role at Wiluna in July, previously undertaken by a contractor," the company said in the release.

Apex's stock (Australia: AXM) closed at A$0.021.

SQI wants development funds

SQI Diagnostics will raise up to C$5 million from a non-brokered private placement of units, the company announced.

SQI will sell 2 million of the units at C$2.50 each. The units will contain one common share and one half-share warrant.

Whole warrants are exercisable at C$5.00 for two years. The strike price is a 117.39% premium to the Aug. 5 closing share price of C$2.30.

Proceeds will be used for development and commercialization, as well as for working capital.

The company was unavailable for comment on Friday.

SQI's shares (TSX Venture: SQD) firmed 10 cents, or 4.35%, to C$2.40. Market capitalization is C$75.5 million.

SQI Diagnostics is a Toronto-based medical systems automation company.

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