Skip to main content
Premium Trial:

Request an Annual Quote

Progenity Enters $25M Private Placement

NEW YORK – Progenity announced on Tuesday that it has entered a definitive securities purchase agreement for the sale of approximately $25 million in units comprising the company's common stock and warrants to purchase additional stock.

The deal is with two unnamed healthcare investment-focused funds.

The San Diego, California-based company will issue units representing an aggregate of 4,340,629 shares of common stock and warrants to purchase an additional 4,340,629 shares of its common stock. The aggregate purchase price of each unit is $5.72 and includes one share of common stock and one warrant to purchase one share of common stock. The warrants will have a per share exercise price of $6.86 and will be exercisable for cash for up to five years after the closing date. The price per unit was partially based on the average of the last five closing prices of the stock on the Nasdaq. 

If the warrants are exercised for cash, Progenity could add $30 million in proceeds from the placement. Piper Sandler served as lead placement agent on the offering with Raymond James as the co-placement agent. The placement is expected to close Feb 25.

Progenity said in a statement that it intends to use the proceeds to support its operations, invest in its molecular testing and precision medicine platform research and development programs, and for working capital and general corporate purposes.

The Scan

Open Pediatric Brain Tumor Atlas Team Introduces Genomic Data Collection, Analytical Tools

A study in Cell Genomics outlines open-source methods being used to analyze and translate whole-genome, exome, and RNA sequence data from the Pediatric Brain Tumor Atlas.

Neurological Outcomes Linked to Innate Immune Features After Cardiac Arrest

Researchers reporting in Med dig into immune features found a few hours after cardiac arrest that correspond with neurological outcomes.

Mouse Study Finds Circadian Rhythm-Related Gene Expression Changes Linked to Sleep Apnea

A paper in PLOS Biology reveals tissue-specific circadian rhythm and gene expression patterns in an intermittent hypoxia-based mouse model of obstructive sleep apnea.

Polygenic Risk Score to Predict Preeclampsia, Gestational Hypertension in Pregnant Women

Researchers in Nature Medicine provide new mechanistic insights into the development of hypertensive disorders of pregnancy, which may help develop therapeutics.