Alpha-Beta Technology Inc. announced late Thursday a $20million private placement with several institutional investors.The investors are purchasing 1 million newly issued shares ofAlpha-Beta common stock (NASDAQ:ABTI), 1 cent par value, for$20 per share, the Worcester, Mass., company said.
The closing of the transaction is contingent upon theeffectiveness of a registration statement to be filed by thecompany covering resales by purchasers, Alpha-Beta said.Vector Securities International Inc. arranged the transaction.
The company said proceeds from the private placement will beused primarily to advance the clinical trials of Betafectin forthe prevention and treatment of infection, to expand facilitiesand to establish additional commercial capabilities. Theproceeds will also finance continued research and developmentin other areas, including the Cholestran program for treatingelevated cholesterol levels.
Alpha-Beta's stock closed Thursday at $21.25 a share, down 75cents.
(c) 1997 American Health Consultants. All rights reserved.