Vaccinex Inc VCNX shares are trading higher by 15% to $0.69 during Wednesday’s session after the company announced a private placement transaction priced at $3.7 million, with a lead investment from a new major investor and significant participation from existing investors, including entities linked to the Chairman of the Board of Directors and the Chief Executive Officer.
The transaction involves the sale of 3,838,544 shares of common stock and common warrants to purchase up to 5,103,622 shares, at a combined purchase price of $0.725 per share and warrant, with an exercise price of $1.00 per share for the warrants.
These warrants will be exercisable immediately and will expire five years from the initial exercise date, with a provision for early call by the company under certain conditions.
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The closing of the offering is expected by February 8, subject to customary closing conditions, with anticipated gross proceeds of $3.7 million.
Together with previous financing, the company expects these proceeds to fully fund its ongoing SIGNAL-AD trial until the release of topline data expected in the third quarter of 2024.
According to data from Benzinga Pro, VCNX has a 52-week high of $12.35 and a 52-week low of $0.51.
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