NEW YORK (GenomeWeb News) – Pressure BioSciences has filed with US regulators for a direct offering of a maximum of $5 million of its Series F preferred stock.
In an amended preliminary prospectus filed with the US Securities and Exchange Commission on Friday, Pressure Bio said it plans to offer 5,000 shares of its Series F preferred stock at $1,000 per share. The stock is being offered directly to one or more accredited investors.
Moody Capital Solutions is acting as placement agent on the offering.
Pressure Bio did not say in its document how much in net proceeds it expects from the offering. The funds will support "a comprehensive sales distribution strategy," development and commercialization of future products, R&D activities, general working capital, and the repayment of up to $150,000 outstanding under a promissory note.
It also will go toward funding dividends paid in cash on the company's Series E preferred Stock and Series F preferred stock.
The company, which posted a 69 percent year-over-year increase in first-quarter revenues, warned in its recent Form 10-Q of a pressing need for cash. It said in its Form S-1/A last week that "[b]ased on our current projections, including equity financing subsequent to December 31, 2011, we believe our current cash resources will enable us to extend our cash resources to fund normal operations until the end of May 2012."
As of May 15, Pressure Bio, whose stock was delisted from the Nasdaq market last month, had available cash of about $90,000, it said.
In April, the company announced an investment agreement with Ironridge BioPharma for $500,000. The South Easton, Mass.-based company recorded net proceeds of $395,000 from the deal, it said in its SEC document last week. In February, it raised $800,000 in a private placement.