pSivida Announces $10.75 Million Registered Direct Financing
Posted on: Wed, 19 Jan 2011 09:00:12 EST
Symbols: RODM, PSDVV, LTS, PSDV
WATERTOWN, Mass., Jan 19, 2011 (BUSINESS WIRE) --
pSivida Corp. (NASDAQ: PSDV | PowerRating, ASX
VA), a leader in developing sustained release, drug delivery products for treatment of back-of-the-eye diseases, including the investigational drug ILUVIEN(R) for the treatment of Diabetic Macular Edema, announced today that it has entered into a securities purchase agreement with institutional investors to raise gross proceeds of approximately $10.75 million in a registered direct offering through the sale of a total of 2,150,000 shares of the Company's common stock and warrants to purchase 537,500 shares of its common stock. The net proceeds from the sale, after deducting placement agent fees and other estimated offering expenses, will be approximately $9.9 million.
The common stock and warrants will be sold in units, with each unit consisting of one share of common stock and the equivalent of a warrant to purchase 0.25 shares of common stock. Each purchaser will receive warrants to purchase a number of whole shares of common stock equal to 25% of the number of shares of common stock purchased by such purchaser. Each unit will be sold at a negotiated price of $5.00 per unit. Each warrant will be exercisable for one share of common stock, has an exercise price of $5.00 per share and will be exercisable for five years. These securities are being offered through an effective registration statement.
The offering is expected to close on or about January 24, 2011, subject to the satisfaction of customary closing conditions. The Company intends to use the proceeds from this offering for general corporate purposes.
Rodman & Renshaw, LLC, a subsidiary of Rodman & Renshaw Capital Group, Inc. (Nasdaq: RODM | PowerRating - News) acted as lead placement agent and Ladenburg Thalmann & Co. Inc., a subsidiary of Ladenburg Thalmann Financial Services Inc. (Amex: LTS | PowerRating) acted as co-placement agent for the offering.
A shelf registration statement relating to the shares of common stock issued in the offering has been filed with the Securities and Exchange Commission (the "SEC") and has been declared effective. A prospectus supplement relating to the offering will be filed with the SEC. Copies of the prospectus supplement and accompanying prospectus may be obtained from Rodman & Renshaw, LLC by calling 212-356-0549 or by email at
[email protected]. This announcement is neither an offer to sell nor a solicitation of an offer to buy any of our shares of common stock. No offer, solicitation or sale will be made in any jurisdiction in which such offer, solicitation or sale is unlawful.