Aeterna Zentaris Announces Closing of US$16.65 Million Public Offering of Common Shares and Warrants
December 14 2015 - 12:30PM
Business Wire
Aeterna Zentaris Inc. (NASDAQ: AEZS; TSX: AEZ)
(the “Company”) today announced the closing of its previously
announced underwritten public offering (the “Offering”) of 3.0
million common shares and warrants to acquire 2.1 million common
shares with a combined purchase price of US$5.55 for one common
share together with a warrant to purchase 0.7 of a common share,
generating net proceeds of approximately US$15.0 million. In
addition, the Company granted the underwriter a 45-day option to
purchase up to an additional 330,000 common shares and/or warrants
to purchase up to an additional 231,000 common shares, to cover
over-allotments, if any. Prior to closing, the underwriter
exercised its over-allotment option with respect to the warrants to
acquire an additional 231,000 common shares, resulting in an
issuance of warrants to acquire an aggregate of 2,331,000 common
shares at closing.
The warrants are exercisable immediately and expire five years
following issuance at an exercise price of US$7.10 per share. The
warrants do not contain any price or other adjustment provision,
except for customary adjustment provisions that apply in the event
of certain corporate events or transactions that affect all
outstanding common shares. The warrants may at any time be
exercised on a “net” or “cashless” basis in accordance with a
customary formula but do not contain an alternate cashless exercise
feature contained in our previously issued Series B common shares
purchase warrants. The warrants will not be listed on any stock
exchange.
The Company intends to use the net proceeds from the Offering to
continue to fund its ongoing drug development activities, for the
potential addition of commercialized products to the Company’s
portfolio, and for general corporate purposes, for working capital
and to fund negative cash flow.
Maxim Group LLC acted as sole book-running manager, and H.C.
Wainwright & Co., LLC acted as financial advisor to the Company
in connection with the Offering.
In approving the Offering and listing the Common Shares issued
and issuable thereunder, the Company relied on the exemption set
forth in Section 602.1 of the TSX Company Manual available to
"Eligible Interlisted Issuers", since the Company's Common Shares
are also listed on the NASDAQ Capital Market and had less than 25%
of the overall trading volume of its listed securities occurring on
all Canadian marketplaces in the twelve months immediately
preceding the date on which application was made to TSX to approve
the Offering.
This press release does not and shall not constitute an offer
to sell or the solicitation of an offer to buy any of the Company’s
securities, nor shall there be any sale of the Company’s securities
in any state or jurisdiction in which such offer, solicitation or
sale would be unlawful prior to registration or qualification under
the securities laws of any such state or jurisdiction.
About Aeterna Zentaris Inc.
Aeterna Zentaris is a specialty biopharmaceutical company
engaged in developing and commercializing novel treatments in
oncology, endocrinology and women’s health. We are engaged in drug
development activities and in the promotion of products for others.
The focus of our business development efforts is the acquisition of
licenses to products that are relevant to our therapeutic areas of
focus. We also intend to license out certain commercial rights of
internally developed products to licensees in territories where
such out-licensing would enable us to ensure development,
registration and launch of our product candidates. Our goal is to
become a growth-oriented specialty biopharmaceutical company by
pursuing successful development and commercialization of our
product portfolio, achieving successful commercial presence and
growth, while consistently delivering value to our shareholders,
employees and the medical providers and patients who will benefit
from our products. For more information, visit www.aezsinc.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20151214005921/en/
Aeterna Zentaris Inc.Philip Theodore, 843-900-3223Senior Vice
Presidentptheodore@aezsinc.com
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