Offering total includes conversion of $1.5 million bridge notes
New York, Feb. 13 - Organovo, Inc. sold $6,525,887 of units made up of stock and warrants as part of a series of transactions related to a reverse merger, according to an 8-K filing with the Securities and Exchange Commission.
The company sold 6,525,887 million units at $1.00 per unit. Each unit is made up of one share and one warrant exercisable for five years at $1.00 per share. The offering was planned for up to 8 million units.
Included in the size of the offering is the conversion of $1.5 million principal amount and $25,379 of accrued interest on previously issued bridge notes.
The bridge financing carried out by Organovo, Inc. before the merger was $1.5 million of 6% convertible promissory notes due March 31, 2012 and warrants to buy 1.5 million shares.
In the reverse merger, Real Estate Restoration and Rental, Inc., a Nevada corporation, first merged with Organovo Holdings, Inc. on Dec. 28 in order to change its name. It then merged with a Delaware corporation, also called Organovo Holdings, Inc. in order to change its domicile. On Feb. 8, its subsidiary Organovo Acquisition Corp. merged with Organovo, Inc., with Organovo, Inc. the surviving corporation.
The unit sale closed concurrently with the merger.
The placement agent for the units received a commission of 10% of the funds raised, excluding those from conversion of the bridge notes, plus an expense allowance equal to 3% of the proceeds and warrants for shares equal to 20% of the shares underlying the units sold to investors.
Organovo is a Durham, N.C., company that is commercializing a bioprinting technology for the generation of three-dimensional human tissues that can be employed in drug discovery and development, in biological research and as therapeutic implants for the treatment of damaged or degenerating tissues and organs.
| Issuer: | Organovo, Inc.
|
| Issue: | Units of stock and warrants
|
| Amount: | $6,525,887
|
| Units: | 6,525,887
|
| Price: | $1.00
|
| Warrants: | For 6,525,887 shares
|
| Warrant strike price: | $1.00
|
| Warrant expiration: | Five years
|
| Settlement date: | Feb. 8
|
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