Arrowhead Research Corporation (NASDAQ: ARWR) today announced that it has entered into a securities purchase agreement with institutional and individual investors to raise gross proceeds of approximately $6.2 million. Investors include several existing investors in the Company, including James Mellon, and a new fund dedicated to health care investments. The placement consisted of the sale of 2.3 million shares of its common stock, and warrants to purchase 1.7 million shares of common stock. The stock and warrants will be sold in units, at a price of $2.76 per unit, with each unit consisting of one share of common stock and a warrant to purchase 0.75 shares of common stock. The warrants have an exercise price of $3.25 per share of common stock, with a term of four years from the date of issuance and are exercisable commencing 6 months following the closing of the offering.
Rodman & Renshaw, LLC is acting as the exclusive placement agent for the offering. Use of proceeds includes general corporate, research and development, and clinical trial expenditures. The closing is expected to take place on or about August 16, 2012, subject to the satisfaction of customary closing conditions.
The securities will be issued under Arrowhead’s shelf registration statement filed on Form S-3 (File No. 333-176159), which was declared effective by the Securities and Exchange Commission on August 17, 2011. The final prospectus supplement related to this offering will be filed with the Securities and Exchange Commission.
This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities referred to herein, nor shall there be any sale of these securities in any state in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV