Bacterin International receives $1m from Lincoln Park Capital, additional $30m in the cards

Bacterin International Holdings (AMEX:BONE), which develops bone graft material and anti-infective coatings for medical applications, said Tuesday that Chicago-based asset manager Lincoln Park Capital has invested an initial $1 million into the company through an equity financing, and has committed to contribute a further $30 million.

Under the terms of the deal, Belgrade, US-based Bacterin received $1 million through the sale of shares to Lincoln Park at a price of $3.06 each, together with warrants to purchase an additional 130,719 shares at the same price. The price was consistent with the market price of Bacterin's shares on May 26.

In addition, Lincoln Park has committed to invest up to an additonal $30 million over the next three years through further equity financings, with no additional warrants to be granted.

Together with a previously announced capital raise, Bacterin has recently raised just over $3 million with Lincoln Park's $1 million investment.

Bacterin said the agreement with Lincoln Park can be cancelled at any time, at no cost to the company.