Investors also get five-year warrants for 156.25 million common shares
By Devika Patel
Knoxville, Tenn., March 1 - Manhattan Pharmaceuticals, Inc. settled a $25 million private placement of preferred stock and common stock on Feb. 24, according to an 8-K filed Thursday with the Securities and Exchange Commission.
The company sold 277,285,633 common shares, 695,428 preferreds and warrants for 156,249,924 common shares. Each warrant is exercisable at $0.04 for five years, and the common shares were sold at the same price, which is a 75% discount to the March 1 closing share price of $0.16.
The preferreds were sold at $20.00 apiece. Each preferred Stock converts into 500 common shares.
OPN Capital Markets and National Securities Corp. were the agents.
Proceeds will be used to advance the company's products and for general corporate purposes.
New York-based Manhattan Pharmaceuticals is a specialty healthcare product company.
| Issuer: | Manhattan Pharmaceuticals, Inc.
|
| Issue: | Preferred stock, common stock
|
| Amount: | $25 million
|
| Warrants: | For 156,249,924 shares
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $0.04
|
| Agents: | OPN Capital Markets and National Securities Corp.
|
| Settlement date: | Feb. 24
|
| Stock symbol: | OTCBB: TGTX
|
| Stock price: | $0.16 at close March 1
|
| Market capitalization: | $1.18 million
|
|
|
| Preferred stock
|
| Amount: | $13,908,560
|
| Preferreds: | 695,428
|
| Price: | $20.00
|
| Conversion ratio: | Into 500 common shares
|
|
|
| Common stock
|
| Amount: | $11,091,425
|
| Shares: | 277,285,633
|
| Price: | $0.04
|
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