Biotechnology company finances development of its portfolio compounds
By Devika Patel
Knoxville, Tenn., Jan. 3 - Ohr Pharmaceutical Inc. said it settled a private placement of stock. The deal raised $1.05 million on Dec. 30.
The company sold 4.2 million common shares at $0.25 apiece. The price per share is a 19.05% premium to the Dec. 29 closing share price of $0.21. Investors also received 2.52 million warrants, which are each exercisable at $0.55 for five years. The strike price is a 161.9% premium to the Dec. 29 closing share price.
Proceeds will be used to further the development of the company's portfolio compounds, OHR/AVR118 and Squalamine, and for general corporate purposes.
"The company's ability to raise funds at a premium to the market is a testament to the solid fundamentals of the company's development programs and its current undervaluation in the stock market," chairman of the board Ira Greenstein said in a press release. "This financing, together with the previously announced QTDP grant and current cash position, provides the company with sufficient capital to fund its development programs for at least 12 months under its current development plan."
Ohr is a biotechnology company based in Dover, Del.
| Issuer: | Ohr Pharmaceutical Inc.
|
| Issue: | Common shares
|
| Amount: | $1.05 million
|
| Shares: | 4.2 million
|
| Price: | $0.25
|
| Warrants: | 2.52 million
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $0.55
|
| Settlement date: | Dec. 30
|
| Stock symbol: | OTCBB: OHRP
|
| Stock price: | $0.21 at close Dec. 30
|
| Market capitalization: | $8.86 million
|
© 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.
