Affymax N.V. announced Monday that its subsidiary,Affymetrix, has completed a fully subscribed privateplacement of preferred shares.

Affymetrix raised $16.6 million from the new investors;including specialized investment and pension funds, banks andqualified individuals in the U.S., Europe and the Far East. This isthe first time that Affymetrix shares have been offered to"outsiders," the company said.

As well, parent company Affymax (NASDAQ:AFMXF) purchased$4.4 million of the shares and has provided its Santa Clara,Calif., subsidiary with a license to Affymax technologies andpatents for diagnostic applications.

Affymetrix intends to use the $21 million to fund productdevelopment of innovative DNA chip systems, based onAffymax's VLSIPS (very large scale immobilized polymersynthesis) technology, for the clinical diagnostic, biomedicalresearch and genetic analysis markets.

As of the close of the offering, Affymax of Palo Alto, Calif., owns65 percent of the total Affymetrix shares outstanding, whichamounts to 14.75 million shares, according to a companyrepresentative.

(c) 1997 American Health Consultants. All rights reserved.