Skip to main content
Premium Trial:

Request an Annual Quote

Health Discovery Plans to Bolster Cash Position via Private Placement as Q2 Revenues Fall

NEW YORK (GenomeWeb News) - Health Discovery Corporation said today that it expects to raise between $1.5 million and $2.5 million through a stock purchase agreement with several unnamed financial institutions and "other accredited investors.”
 
Two of these investors have agreed to sit on the company’s board upon closing, which is expected on or before Sept. 7, HDC said.
 
The company also said that its current note holders plan to convert around $2 million of its existing debt into equity.
 
Separately, the company disclosed in a filing with the US Securities and Exchange Commission today that its revenues for the three months ended June 30 dwindled to $10,834 from $70,000 in the prior-year period. All of the company’s revenues are from licensing and development fees.
 
HDC’s net loss widened to $739,290 from $493,235 in the second quarter of 2006. 
 
As of June 30, HDC had $65,558 in available cash.
 
Company CEO Stephen Barnhill said in a statement that the combination of the private placement and converted debt "will give us a completely restructured balance sheet."
 
HDC said in its quarterly report that it expects to have reduced its indebtedness to $647,422 and to have a cash balance of around $2.6 million following the private placement.
 
"The resulting financial strength will allow us to fuel our biomarker discovery efforts, increase the pace of our licensing and development opportunities with our collaborative partners, and continue the enhancement and protection of our valuable patent estate," Barnhill said.

The Scan

UCLA Team Reports Cost-Effective Liquid Biopsy Approach for Cancer Detection

The researchers report in Nature Communications that their liquid biopsy approach has high specificity in detecting all- and early-stage cancers.

Machine Learning Improves Diagnostic Accuracy of Breast Cancer MRI, Study Shows

Combining machine learning with radiologists' interpretations further increased the diagnostic accuracy of MRIs for breast cancer, a Science Translational Medicine paper finds.

Genome Damage in Neurons Triggers Alzheimer's-Linked Inflammation

Neurons harboring increased DNA double-strand breaks activate microglia to lead to neuroinflammation like that seen in Alzheimer's disease, a new Science Advances study finds.

Long COVID-19 Susceptibility Clues Contained in Blood Plasma Proteome

A longitudinal study in eBioMedicine found weeks-long blood plasma proteome shifts after SARS-CoV-2 infection, along with proteomic signatures that appeared to coincide with long Covid risk.