Pfizer Closes $25M Investment in Monogram

NEW YORK, May 22 (GenomeWeb News) - Pfizer's $25-million investment in Monogram Biosciences closed today, with the conversion price of the convertible note set at $2.70 per share, said Monogram Biosciences.

As GenomeWeb News reported May 8, Pfizer Pharmaceuticals said it would invest $25 million in Monogram through a 3-percent senior secured convertible note, payable in 2010.

The note, dated May 19, is due May 19, 2010, unless converted earlier. The note will be payable quarterly in cash, or at Monogram's option in its common stock, the company said.

The conversion price is at a 20-percent premium to the average closing price of common stock during the five trading days preceding the note's issue. The note will automatically convert if the closing price is greater than $4.06, or 150 percent of the conversion price, for 20 out of 30 consecutive trading days.

The note is secured by all assets related to Monogram's HIV testing business.