Incara Borrowed $1.4M In Oct For Equip, Pdt Development
Dow Jones Newswires
WASHINGTON -- Incara Pharmaceutical Corp. (INCR) borrowed $1.4 million in October to fund equipment purchases and develop its OP2000 heparin product, according to a 10K filing with the Securities and Exchange Commission.
The filing said Incara borrowed $565,000 under a $700,000 loan agreement with Transamerica Technology Finance Corp. The company pledged equipment valued around $686,000 as collateral and issued a seven-year warrant to Transamerica for 17,588 shares exercisable at $1.99 a share, the 10K from last week said.
Also in October, Incara borrowed $857,000 from Elan Corp. (ELN), its partner in Incara Development, under a promissory note. The joint venture is developing OP2000 to treat inflammatory bowel disease.
The filing stated Incara can borrow up to $4.8 million from Elan for development of OP2000 bearing interest at 10%. The principal and interest is convertible at Elan's option into shares of Incara Series B preferred stock at $43.27 a share.
Prior to the October borrowings, Incara had cash and investments of $5.4 million, the filing said, enough to fund the company's current level of operations until mid-2002, the document said.
Incara, of Research Triangle Park, N.C., is developing ultra-low molecular weight heparin to treat ulcerative colitis as well as adult liver progenitor and stem cell therapies. |
