Vaccine maker Vical announced today that it will raise $14.6 million in a registered direct offering. Federated Kaufmann Fund and another unnamed investor will purchase approximately $15.4 million of securities. Vical expects to receive net proceeds of approximately $14.6 million after deducting placement agent fees and other offering expenses. "The offering also includes options to buy up to 3.3 million additional shares," explains Forbes. "Units will be sold for approximately $2.31, with each unit consisting of one share and an option to purchase about one-half of a share.'
Vical says it will use the funds to support ongoing programs and for general corporate purposes. It's developing vaccines for infectious disease, cancer vaccines and immunotherapies. The company is currently running a Phase III study of Allovectin-7 Immunotherapeutic for metastatic melanoma, a Phase III trial of CB01-202 for CMV and a Phase I study of IPT1-101 for pandemic flu. Earlier this week, Vical said that it had already developed a prototype swine flu vaccine and proceeded to animal testing.
- here's Vical's release
- see the Forbes report