Genzyme Transgenics Corp. wants to raise more than $20 millionthrough the sale of 3 million shares of stock.
The Framingham, Mass., company, currently 48 percent owned byGenzyme Corp., said late Wednesday it registered to sell the shares.Its stock closed Friday at $7.50. At that price the offering wouldgenerate gross proceeds of $22.5 million.
Managing the underwriting are the New York firms PaineWebberInc., Hambrecht & Quist LLC and Needham & Co. Inc. CurrentlyGenzyme Transgenics has about 13.2 million shares outstanding.
On March 31, 1996, the company reported a net loss of nearly $2million on revenues of $10.4 million. It had about $2 million in cashand equivalents.
The company is using transgenic technology to develop therapeuticproteins and monoclonal antibodies. It also has a division thatprovides preclinical testing services on a contract basis.
Later this year Genzyme Transgenics expects to begin the first U.S.trial of a human protein produced in the milk of transgenic goats. Theproduct is antithrombin III, an anti-blood clotting agent.
Genzyme Corp. is providing $10 million to support that program.That line of credit can be converted into Genzyme Transgenicscommon stock.
In separate action late Friday, Genzyme Corp.'s Tissue RepairDivision (NASDAQ:GENZL) said it received $10 million fromGenzyme Corp. in exchange for an increase of one million shares ofTissue Repair designated stock. Genzyme has options to purchaseanother $20 million in Tissue Repair stock _ in two phases involvingone million shares each _ in June of 1997 and 1998. _ Jim Shrine
(c) 1997 American Health Consultants. All rights reserved.