Aurizon increases offering to C$25.3 million; ParkerVision closes $21.6 million deal

By Sheri Kasprzak

Atlanta, March 15 - Several private placements were announced Tuesday, even though stocks were pushed down by rising oil prices.

Among the deals disclosed was a $20 million offering from MagIndustries Corp., a deal comprised of 23,529,411 units at $0.85 each. LKA International Inc. also announced its plans raise $3 million in a stock-for-cash deal.

One source noted that more deals closed than were announced and disagreed that volume was good Tuesday.

"I think there's substantial evidence that issuers were holding back today," said the sell-sider.

The Dow Jones Industrial Average ended the day down 59.41 to close at 10,745.10; the Nasdaq composite index was down 16.06 to close at 2,034.98 and the S&P 500 closed down 9.08 at 1,197.75.

Meanwhile, oil prices continued to climb, gaining $0.10 to close at $55.05 per barrel.

Lower stocks in Canada also kept issuance there to a minimum, sell-siders north of the border said.

"The only thing I can really say is that stocks are a bit lower, which makes the [PIPE] market less appealing," said one sell-sider in Canada.

The Toronto Stock Exchange composite index closed down 6.09 to end at 9,709.27.

Even so, Canadian gold exploration company Aurizon Mines Ltd. increased the size of the C$20 million offering it announced late Monday to C$25.3 million.

The company now plans to sell up to 10,555,555 flow-through shares at C$1.80 each and up to 4,222,221 common shares at C$1.50 each.

The deal was first announced as a C$20 million offering of up to 3,333,333 common shares and 8,333,333 flow-through shares at the same prices.

Based in Vancouver, B.C., Aurizon is a gold exploration company. It plans to use the proceeds to continue pre-production construction and exploration at Casa Beradi, where 66,000 meters of diamond drilling is expected this year.

On Tuesday, Aurizon's stock closed up C$0.02 at C$1.41.

ParkerVision raises $21.6 million

ParkerVision, Inc. wrapped a private placement of stock for $21.6 million, the company said.

The company issued 2.88 million shares at $7.50 each.

The investors in the deal also received warrants for 720,000 shares at $9 each for five years.

After the offering was announced Tuesday morning, ParkerVision's stock gained $0.94 to close at $10.10.

"The warrants look good in this deal and with the gains in stock, I think we can determine that it went well for them," said one market source. "I would think the shares are priced a little low, but the warrants are what really make the deal."

"I am confident that this financing will give us the resources we need to accelerate the market penetration of our new products using D2D, as well as the digital power amplifier products and take advantage of the exciting new opportunities that lie ahead of us," said Jeffrey Parker, the company's chief executive officer and chairman, in a statement.

Wells Fargo Securities, LLC was the placement agent.

ParkerVision, based in Jacksonville, Fla., develops and markets semiconductor technologies for wireless applications. It plans to use the proceeds from the offering to fund its technology development, add sales and marketing resources and implement a retail strategy. The remainder will be used for general corporate purposes.

VantageMed wraps $5 million deal

VantageMed Corp. finished a private placement of stock for $5 million.

The offering included 5,376,344 shares at $0.93 each to institutional investors.

The company also issued warrants for 1,075,269 shares at $1.30 each and 1,075,269 shares at $1.55 each.

"I am very pleased that such high-quality institutional investors are making an investment in VantageMed," said the company's chief executive officer Steve Curd, in a statement. "This transaction will enable us to invest in growing our business with a focus on delivering higher quality service to our customers and expanding the market scope of our products."

Merriman Curhan Ford & Co. was the placement agent.

Based in Rancho Cordova, Calif., VantageMed is a software company focused on the healthcare industry.

VantageMed's stock closed unchanged at $1.14 on Tuesday.

Canyon closes $3.82 million deal

Canyon Resources Corp. sold 5,302,932 units for proceeds of $3,823,417 in a direct placement.

The units were sold at $0.721 each.

The units include one share and one half-share warrant. The whole warrants provide for an additional share at $1.03 each from Sept. 22, 2005 through March 14, 2008.

The shares associated with the units were sold under Canyon Resources' shelf registration.

"We are very pleased to see the continued strong support shown by a number of our existing shareholders with their participation in this financing, along with a number of new institutional investors, including RMB Resources," said James Hesketh, the company's president, in a statement.

"Canyon Resources plans to use the net proceeds from this sale of common stock for general corporate purposes, including funding engineering and drilling activities at the Hycroft Mine during the purchase option period and advancing engineering analysis of other potential mine development projects, such as our Reward property in Nevada and our Montana gold deposits. This financing provides additional flexibility as we prepare for the anticipated decision later this year to purchase and restart the Hycroft Mine in Nevada."

Based in Golden, Colo., Canyon is a gold and silver exploration company.

Canyon's stock closed up $0.02 at $0.73 Tuesday.

Akers closes $2.5 million notes deal

Akers Biosciences, Inc. sold $2.5 million in convertible promissory notes through a private placement.

The notes mature in 18 months, bear interest at 6% annually and are convertible into common shares at a 15% discount to the average five-day closing bid price before the conversion date.

The investors also received class A warrants, exercisable at a priced determined by the then-current market price for one year, and class B warrants for 10 shares, exercisable at $1.49 each for five years.

"We are delighted to have attracted additional capital into our company at this important stage in our development, which significantly strengthens our financial position," said Ray Akers, the company's chief executive officer, in a statement.

"Furthermore, the warrants associated with the investment can provide additional expansion capital in the future. We have recently secured a string of distribution agreement, including one with Oryx Pharmaceuticals to penetrate Canada with our heparin/platelet factor 4 antibody test, and Alco Industries to penetrate U.S. retail markets. It is in response to these agreements that we require funds to facilitate the expansion of our product facilities in order to achieve our aggressive sales targets for 2005 and beyond."

Dunwoody Brokerage Services, Inc. was the placement agent.

Based in Thorofare, N.J., Akers develops, manufactures and supplies screening and testing products to bring information to patients or healthcare providers. The proceeds from the private placement will be used for the expansion of production facilities and its sales force. The remainder will be used for working capital.

Endocare's stock continues to climb

Endocare Inc.'s stock continued to rise Tuesday, a day after closing a $15,609,997 private placement.

The company's stock closed up $0.35 Tuesday at $3.55.

After announcing the closing of the deal Monday morning, Endocare's stock jumped $0.20 to close at $3.20.

The company issued shares at $2.77 each.

"I think their stock is still responding to the deal," said one market source familiar with the private placement. "The pricing was great and I think they're still reaping the benefits of it."

Based in Irvine, Calif., Endocare develops technologies for tissue and tumor ablation.

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