NEW YORK, May 31 (GenomeWeb News) - Sequenom said today that its shareholders have approved a private placement financing to raise gross proceeds of $33 million, as well as a reverse stock split.
The company originally proposed the placement in March, and has secured commitments from a number of investors, including ComVest Investment Partners, Pequot Private Equity Fund, LB I Group, and Siemens Venture Capital. Larry Lenig of ComVest and Patrick Enright of Pequot will join Sequenom's board of directors following the closing of the placement.
The financing is subject to "certain closing conditions" that Sequenom said it expects to satisfy by June 2. Net proceeds will be used for "general working capital purposes."
Sequenom stockholders also approved a reverse stock split ranging from 1-for-2 to 1-for-6, as well as an amendment to increase the authorized shares of its common stock to 185 million. The company currently has 40.25 million shares outstanding.
Shareholders did not approve an amendment that would have changed the company's bylaws "so as to permit stockholders to take actions by written consent and remove the requirement that stockholders may only take action at an annual or special meeting of stockholders."