NEW YORK, May 4 (GenomeWeb News) - Tripos said today that Boston-based Midwood Capital has purchased 1.8 million shares of its convertible preferred stock, representing about 18 percent of the company's stock on an as-converted basis, for about $5.5 million.
Midwood bought the stock at $3 per share, and also received 550,000 five-year common stock warrants that can be exercised at $3.50, the statement said.
The company's shares closed at $2.91 yesterday.
Tripos' convertible preferred stock bears a dividend at an annual rate of 10.5 percent and is redeemable in two years, the company said.
Seven Hills Partners acted as the placement agent for the transaction. Tripos retained the financial advisory firm in January.
Tripos said it is continuing to work with Seven Hills to enhance the growth of its research and informatics businesses.