Cancer cell therapy company NeoStem (AMEX:NBS) said Thursday it expects to raise $6 million through an underwritten public offering, as it seeks to fund strategic transactions.
company provides adult stem cell collection and storage services to
allow healthy people to donate and store their stem cells for personal
plans to sell 15 million units priced at 40 cents each. The company
added it plans to use the funds for general corporate purposes, research
and development of cell therapeutic candidates as well as strategic
Each unit consists of one common share and a
warrant to purchase one share of common stock with an exercise price of
51 cents. Maxim Group LLC acted as sole bookrunner.
NeoStem has granted the underwriters a 45-day option to buy up to an additional 2.25 million units to cover over-allotments.
The offering is slated to close on April 3, and subject to customary closing conditions.
full-year 2011, the biopharmaceutical company reported sales of $73.7
million up from $69.8 million in the same period last year.
revenues are derived from a combination of areas, including the contract
manufacturing services performed by the Progenitor Cell Therapy, whose
manufacturing base is one of the few accredited facilities available for
contracting in the cell therapy industry.
The company also
focuses on making a pipeline of regenerative drug therapies, which are
focused on orthopaedic conditions, as well as developing cosmetic and