Insmed Raises Approximately $8.7 Million in Direct Placement of Common Stock
Monday November 8, 8:10 am ET
RICHMOND, Va.--(BUSINESS WIRE)--Nov. 8, 2004--Insmed Incorporated (NASDAQ:INSM - News) announced today that it entered into definitive purchase agreements to raise approximately $8.7 million through the sale of newly issued shares of common stock and warrants for the additional purchase of shares of common stock. The transaction involved the sale of approximately 6.5 million shares of newly issued common stock at a price of $1.35 per share, with warrants to purchase approximately 3.25 million shares of common stock. . The warrants have an exercise price of $2.00 per share. The financing is expected to close on November 8, 2004. Wells Fargo Securities, LLC served as sole placement agent for the transaction.
Net proceeds of approximately $8.2 million are expected to fund additional clinical trials of Insmed's products, other product development activities, further commercialization activities for Insmed's products, working capital, capital expenditures and general corporate purposes. The securities sold in this private placement have not yet been registered under the Securities Act of 1933 and may not be offered or sold in the United States in the absence of an effective registration statement or exemption from registration requirements. The Company expects to file a registration statement on Form S-3 within 10 days subsequent to the closing of the transaction for purposes of registering the resale of the shares of common stock issued in the private placement.
About Insmed Incorporated
Insmed Incorporated is a biopharmaceutical company focused on the development of drug candidates for the treatment of metabolic diseases with unmet medical needs. For further information about Insmed, please visit the company's corporate website at www.insmed.c |
