Synthetech Inc., a producer of peptide building blocks used bydrug companies to make peptide-based drugs, on Monday said ithas completed a $1 million private placement of stock andwarrants. Synthetech stock (NASDAQ:NZYM) closed at 91 cents,up 6 cents, on Monday.

An investment partnership affiliated with Peter B. Cannell &Co. Inc., a New York investment management firm, purchased 1million shares of restricted common stock at $1 per share. Thestock will be tradeable after two years. After the sale, Albany,Ore.-based Synthetech will have 11.8 million sharesoutstanding.

Cannell also received a five-year warrant to buy an additional1 million shares of restricted stock for $1 per share. Inaddition, Cannell has an option to nominate someone toSynthetech's board.

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