Celltech Group plc announced Monday that it has raised $5million by issuing convertible redeemable cumulativepreferred shares to American Cyanamid Co. of Wayne, N.J.
These shares will carry a 6.9 percent coupon and will beconvertible at any time before 2003 into ordinary shares at 6pounds (about U.S.$8.58 at the current exchange rate) pershare.
American Cyanamid also has recently purchased 709,601shares of the Slough, England, company's common stock fromexisting shareholders. If it converts all the newly issuedpreferred stock, it will have a 4.3 percent equity holding inCelltech.
Celltech and American Cyanamid have been developingantibody-based cancer therapies since 1988, and expect tohave three products in the clinic within a year for treatingacute myeloid leukemia, ovarian cancer and colorectal cancer.
Celltech intends to seek a listing for its shares on the LondonStock Exchange in fiscal 1993/94.
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