NEW YORK (GenomeWeb News) – Pressure BioSciences said in a regulatory document on Tuesday that it has entered into a securities purchase agreement, raising a little more than $1.2 million.
Pressure Bio entered into the agreement on Jan. 29 with various accredited investors to sell them an aggregate of 4,875 units at $250 per unit, the company said in a document filed with the US Securities and Exchange Commission. Purchasers included existing and new investors in the company and members of its board.
Each unit consists of one share of Series K Convertible Preferred Stock, which is convertible to 1,000 shares of Pressure Bio's common stock, and a warrant to purchase 500 shares of the company's common stock at an exercise price equal to $.3125 per share with a term expiring on Jan. 29, 2017.
The sale is the second tranche of a $1.5 million private placement disclosed by Pressure Bio in December. The company also raised $1 million toward the placement at the time.
It said in its Tuesday filing that the private placement was expected originally to close on or before Jan. 31. On Jan. 29, its board voted to increase the subscription amount by $718,750 and to extend the private placement until Feb. 28.
The amount raised in December along with this week's tranche brings the total received by Pressure Bio in the private placement to about $2.2 million, comprising $1.4 million in cash and $820,706 from the conversion of outstanding indebtedness and board fees. It said that one or more additional tranches may close on or before Feb. 28.