Liposome Technology Inc. said Wednesday that it has raised$32 million in a secondary offering of 2 million shares ofcommon stock at $16 per share.
The stock (NASDAQ:LTIZ) lost 25 cents on Wednesday, closingat $16.50.
A portion of the proceeds will be used to develop anti-cancercompounds, including vincristine sulfate and taxol. Vincristine,an off-patent compound, is in preclinical testing as StealthVincristine to treat small cell lung, breast and cervicalcarcinomas and Kaposi's sarcoma. LTIZ is collaborating withEscagenetics Corp. (AMEX:ESN) to formulate and conductpreclinical testing of Stealth taxol in several cancers.
Stealth liposomes incorporate polyethylene glycol orphosphatidylinositol molecules to disguise liposomes from theimmune system, increasing both circulation time and theamount of drug delivered to target sites.
After the offering, the Menlo Park, Calif., company has 18.2million shares outstanding. Underwriters Oppenheimer & Co.Inc. and Kidder, Peabody & Co. Inc. have a 300,000-shareoverallotment option. -- KB
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