A Medical Device Daily
Response Biomedical (Vancouver) reported that it has closed its previously reported public offering of units for gross proceeds of $12.65 million.
The company issued 73,333,333 units at a price of C15 cents per unit. The company concurrently issued an additional 11 million units pursuant to the exercise-in-full of an over-allotment option granted to the underwriter.
Each unit consists of one common share and one-half of one common share purchase warrant, with each whole warrant entitling the holder to purchase one additional common share at a price of C25 cents for a period of 24 months from the closing date of the offering. The company also granted 2,530,000 common share purchase warrants to the underwriter, with each broker's warrant entitling the holder to purchase one common share at a price of 25 cents for a period of 24 months from the closing date of the offering.
As a result of the successful completion of the offering, the company believes that it has satisfied the conditions set forth by the Toronto Stock Exchange (TSX) in connection with its de-listing review of the company. The company expects that the TSX will confirm that the de-listing review will be terminated.
In other financings:
• Pathway Medical Technologies (Kirkland, Washington) a developer of endovascular treatments for peripheral arterial disease (PAD), reported that WRF Capital, the venture investment arm of Washington Research Foundation (Seattle) an independent, nonprofit agency whose mission is to capture and enhance the value of intellectual property arising from Washington state research institutions, has invested $1.5 million as part of Pathway's Series D round of financing.
• Orasi Medical (Edina, Minnesota) said it has completed a $3.5 million Series B financing round.
The company said it will use this capital to expand the development and use of its diagnostic test into the pharmaceutical and clinical markets. Pharmaceutical companies will use this test to determine the efficacy of compounds intended to treat various neurological diseases.
Orasi is currently in discussions with several pharmaceutical companies to finalize the structure of these clinical trials and the inclusion of the Orasi test.
"In light of the difficult financial markets today we are very pleased with investor response to the Orasi offering. Pharmaceutical companies face a very difficult task in measuring the effect of neurological drugs; the Orasi products provide a novel approach to measuring treatment effect earlier and more accurately than current practice. This round of capital allows the company the opportunity to substantially advance this technology," said Shawn Lyndon, Orasi's President/ CEO.
• Acusphere (Tewksbury, Massachusetts) said it has prepaid its equipment loans with Oxford Finance Corp. and Massachusetts Development Finance Agency. These transactions, in combination with the company's prepayment in full of General Electric Capital debt, represent total debt reduction of $3.8 million. After such prepayments, the company has roughly $2.4 million in unaudited cash, which is expected to fund operations to the end of the third quarter of 2009 based on its current operating plan.
Acusphere is a specialty pharmaceutical company that develops new drugs and improved formulations of existing drugs using its microsphere technology.