Hemostemix Inc., of Calgary, Alberta, closed the second tranche of its previously disclosed nonbrokered private placement of units for gross proceeds of up to $3 million. The tranche consisted of the issuance of an aggregate of about 17.7 million units at a price of 1 cent each for gross proceeds of $177,500. Each unit consists of one common share in the capital of the company and one common share purchase warrant, with each full warrant entitling the holder to acquire one common share at a price of 5 cents per common share for a period of 12 months from the closing of the offering. Proceeds are expected to be used to pay finder fees payable in connection with the closing of the second tranche ($12,600), legal fees ($85,000) and certain accounts payables ($79,900).
Karolinska Development AB, of Stockholm, said it made an undisclosed investment in Svenska Vaccinfabriken Produktion AB (SVF), a company that develops therapeutic proteins and DNA vaccines against hepatitis B, hepatitis D and other viral diseases, as well as vaccines to prevent infections of COVID-19 and potential future coronaviruses. SVF’s vaccine platform technology has been developed by researchers at the Karolinska Institute in Huddinge, Sweden. The projects are currently in the preclinical phase, and the first clinical trials could potentially be initiated in 2021. Specific terms were not disclosed, but, as a result of the initial investment, Karolinska Development will own 5% of the shares in SVF. Further, an option agreement gives the opportunity to increase the ownership to a total of 25% within a defined period of time and at a predetermined price.
Novan Inc., of Morrisville, N.C., closed its registered direct offering priced at-the-market under Nasdaq rules with several institutional and accredited investors of about 18 million shares of its common stock (or prefunded warrants to purchase common stock in lieu thereof) at an effective purchase price of 43 cents per share (or prefunded warrant). H.C. Wainwright & Co. acted as the exclusive placement agent for the offering. The gross proceeds to Novan are about $8 million, which will be used to fund its R&D programs and for general working capital purposes and other operating expenses.
Zealand Pharma A/S, of Copenhagen, disclosed a private placement and directed share issue to a U.S. based investor of 741,816 new ordinary shares, each of a nominal value of DKK1 (US14 cents), at a subscription price of DKK185 per share. Zealand expects to receive gross proceeds of about DKK137 million. Zealand intends to use proceeds with its existing cash resources to support discovery, research and development of the company’s peptide platform, support ongoing development of late-stage assets, and prepare for the launch of the company’s first fully owned asset.