Magainin Pharmaceuticals Inc. announced that theunderwriters of its recent public offering have exercised theiroption to purchase an additional 375,000 shares at $6 pershare. (The standard 15 percent overallotment would have putthe options at 525,000.)

The secondary offering of 3.5 million shares was effectiveJanuary 27. Totals for the offering, including the overallotmentoption, now stand at about 3.9 million shares, with netproceeds to the Plymouth Meeting, Pa. company ofapproximately $21.5 million.

Hambrecht & Quist Inc., Smith Barney, Harris Upham & Co. Inc.and S.G. Warburg Securities served as underwriters.

Magainin will use the net proceeds for clinical studies of itsbroad spectrum topical antibacterial and anti-fungal drug MSI-78, other research and development activities, generalcorporate purposes and working capital.

The company's stock (NASDAQ:MAGN) closed Tuesday at $6.75a share, up 75 cents.

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