A Medical Device Daily
EpiCept (Englewood Cliffs, New Jersey) reported the pricing of a public offering of about 8 million shares of its common stock for 25 cents a share and five-year warrants to buy up to roughly 8 million shares of common stock at 39 cents a share. EpiCept will receive roughly $1.9 million in net proceeds from the offering.
The company said it would use the proceeds to meet its working capital needs and general corporate purposes through July and to pay certain fees owed to its senior secured lender. Rodman & Renshaw, a subsidiary of Rodman & Renshaw Capital Group, acted as the exclusive placement agent for the offering.
EpiCept says it is focused on unmet needs in the treatment of pain and cancer. The company's portfolio of pharmaceutical product candidates, includes several pain therapies in clinical development and a lead oncology compound for acute myeloid leukemia with demonstrated efficacy in a Phase III trial. In addition, EpiCept's ASAP technology, a proprietary live cell high-throughput caspase-3 screening technology, is designed to efficiently identify new cancer drug candidates and molecular targets that selectively induce apoptosis in cancer cells. Two oncology drug candidates currently in clinical development that were discovered using this technology have also been shown to act as vascular disruption agents in a variety of solid tumors.
In other financing activity, CardioNet (Conshohocken, Pennsylvania), a wireless med-tech company with an initial focus on the diagnosis and monitoring of cardiac arrhythmias, said it has filed a resale registration statement with the Securities and Exchange Commission related to the shares that were underlying the convertible preferred stock issued in March 2007. The shares being registered remain subject to lock-up agreements entered into in connection with CardioNet's IPO, pursuant to which the holders have agreed not to sell such shares until at least Sept. 15 of this year, the company said.
CardioNet provides ambulatory, continuous, real-time outpatient management solutions for monitoring relevant and timely clinical information regarding an individual's health. CardioNet's initial efforts are focused on the diagnosis and monitoring of cardiac arrhythmias with a solution that it markets as the CardioNet system.