Calgene Inc. expects to raise about $17.75 million through a publicoffering of 2 million shares of common stock to supportcommercialization of its genetically engineered Flavr Savr tomato.The Davis, Calif.-based company said the stock is being offered at$8.87 per share and the underwriters are Montgomery Securities, ofSan Francisco, and A.G. Edwards & Sons, of St. Louis.Carolyn Hayworth, spokeswoman for Calgene, said funds will beused not only for the Flavr-Savr tomato, but also for the company'sprogram to market genetically engineered canola, or rapeseed.The Flavr Savr tomato, which has been modified to resist decay,was approved by the FDA in May after five years of review. Thecompany had said it planned to begin widespread distribution of thetomato this fall.Hayworth said the proceeds from the stock sale also are earmarkedfor other research and development projects and for operatingcapital.The sale of 2 million shares gives Calgene a total of 30.1 millionshares outstanding. In addition to the public offering, another 1million shares were sold by a single stockholder.The underwriters of the offering were given an option to buy up to450,000 shares to cover over-allotments. _ Charles Craig
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