Receptagen Ltd. announced Tuesday that it has completed aprivate placement of C$10 million (U.S. $7.52 million) in specialwarrants.
The Vancouver, British Columbia, company appointed EquityCapital Group, a Toronto-based division of Canaccord CapitalCorp., to act as the agent for the best-efforts placement on Nov.8. The closing of the placement was contingent uponReceptagen's acquisition of Ryan Pharmaceuticals Inc., whichalso occurred Nov. 8.
Each special warrant was sold for U.S. $1.50, entitling theholder to acquire one common share and one-half of onecommon share purchase warrant. Each whole share purchasewarrant will entitle the holder to purchase one common shareof Receptagen (ASE:RCG) at a price of $1.80 or 80 percent of theweighted average closing price of the stock on the five tradingdays preceding the date of exercise, whichever is greater.
Receptagen will receive $752,000 of the net proceedsimmediately, with the remainder held in escrow pending theissuance of a final receipt for a prospectus to be filed with theregulatory authorities in British Columbia, Alberta and Ontarioon or before May 31, 1994. The prospectus will qualify theshares and the common share purchase warrants underlyingthe special warrants.
-- Jennifer Van Brunt Senior Editor
(c) 1997 American Health Consultants. All rights reserved.