News from this morning:
Procept completes $3 million placement with Aries Funds
CAMBRIDGE, Mass.--(BW HealthWire)--July 7, 1997--
Company names Michael S. Weiss Interim Chairman of the Board
Procept, Inc. (Nasdaq: PRCT) today announced that The Aries Fund
and the Aries Domestic Fund, L.P. have invested a total of $3
million in the Company in exchange for a promissory note in the
principal amount of $200,000, shares of Common Stock and Warrants to
purchase additional shares of Common Stock.
Terms of the investment call for Procept to obtain stockholder
approval permitting the purchasers to put their Common Stock
investment to the Company in exchange for Preferred Stock of the
Company and otherwise to approve certain aspects of the deal in
accordance with the Nasdaq National Market's listing requirements.
"We are pleased that The Aries Funds have chosen to invest in
Procept," said Stanley C. Erck, president and CEO of Procept. "The
expertise of The Aries Funds in the biotechnology field and their
involvement with the Company will be important assets. This
investment is designed to allow us to meet our corporate partnering
goals while focusing on our burn rate, and meeting our product
development objectives."
In connection with The Aries Funds' investments, the Company also
announced that the Company's Board of Directors has agreed to elect
Michael S. Weiss, Senior Managing Director of Paramount Capital,
Inc., to the Board of Directors of Procept as Interim Chairman of the
Board. Mr. Weiss is Interim Chairman of Genta Incorporated, as well
as a director of AVAX Technologies, Inc., Xytronyx, Inc. and Palatin
Technologies, Inc., each a publicly traded biotechnology company.
The Aries Funds are affiliated investment funds that specialize in
the biotechnology industry.
The statements contained in this release that are not historical are
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
and Exchange Act of 1934, as amended, including statements regarding
the expectations, beliefs, intentions or strategies regarding the
future. The Company intends that all forward-looking statements be
subject to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements
reflect the Company's views as of the date they are made with respect
to future events, but are subject to many risks and uncertainties,
which could cause the actual results of the Company to differ
materially from any future results expressed or implied by such
forward looking statements. The Company does not undertake to update
any forward-looking statements.
Procept, Inc. is engaged in the research and development of small
molecule therapeutics for the prevention and treatment of chronic and
life-threatening immune system disorders. Procept is developing
therapeutics for the treatment of autoimmune diseases, organ
transplant rejection and infectious diseases, such as AIDS and
tuberculosis. Founded in 1985 and traded on the Nasdaq National
Market System under the symbol PRCT, Procept is located in Cambridge,
Massachusetts. |
