NEW YORK — Cancer Genetics said on Wednesday that it has signed agreements to sell roughly $17.5 million of its common stock to unnamed institutional investors.
According to the Rutherford, New Jersey-based cancer drug-discovery services provider, it will issue approximately 2.7 million shares of stock at $6.30 apiece in a registered direct offering priced at-the-market under Nasdaq rules. It expects the offering, which is being underwritten by HC Wainwright, to close early next week.
Cancer Genetics said it will use the proceeds for general corporate purposes, including working capital and capital expenditures. The proceeds are expected to be available following the company's planned merger with Stemonix.
Earlier this year, Cancer Genetics signed agreements to sell $10 million in stock and warrants to institutional and accredited investors.
During mid-morning trading on the Nasdaq, shares of Cancer Genetics were down 19 percent at $6.95.