NEW YORK (GenomeWeb News) – Pressure BioSciences today announced the closing of an $800,000 private placement.
The company sold units consisting of a total of 971,867 shares of restricted common stock and 485,937 warrants to purchase restricted common stock. Each unit consists of one share of restricted common stock and a warrant to purchase one-half share of common stock
The price per unit was $.8025 for units made up of 789,350 shares and 394,677 warrants, and $.9125 for units made up of the remaining 182,517 shares and 91,260 warrants.
The closing price on Pressure Bio's shares on Feb. 6, the day before the closing of the private placement, was $.74.
Of the $800,000 raised, $412,453.33 was in cash and $387,546.67 was from the conversion of outstanding principal and interest on convertible promissory notes issued by the company in 2011.
The warrants are exercisable for five years, starting Aug. 7, 2012 at an exercise price of $.74 per share for the purchasers of the 789,350 shares, and $.85 per share for the purchasers of the 182,517 shares.
Seven current investors participated in the placement including Pressure Bio's President and CEO Richard Schumacher, Chairman Wayne Fritzsche, and two investors from the company's registered direct offering in November, the company said.
The South Easton, Mass.-based firm is currently facing possible delisting action from Nasdaq. In December it filed with the US Securities and Exchange Commission to raise $800,000 in a public offering. At the time, it said it had only $443,000 in cash.
Last week Pressure Bio announced Florida International University was awarded $349,130 from the US Department of Justice to use the company's pressure cycling technology platform to develop a more accurate method for processing DNA evidence in rape investigations.