NanoViricides Announces Terms of Series A Convertible Debentures and Receives Partial Funding
NEW YORK, Jul 13, 2005 (BUSINESS WIRE) -- NanoViricides, Inc. (Pink
Sheets:NNVC)(the "Company"), announced today the terms of its Series A
Convertible Debenture offered to select Institutional and Accredited Investors.
The Debentures are to be repaid on the first anniversary, with interest at the
rate of nine percent, which shall be paid quarterly in shares of the Company's
common stock equal to the average closing price for the preceding fifteen
trading days prior to the close of the respective quarterly period. The
principal balance of the Debentures may be repaid, at the holders' option, in
cash or a number of shares of common stock equal to seventy percent of the
average closing price of fifteen trading days prior to maturity (not to exceed
$.50 per share). The Company will have the right, but not the obligation, to
redeem the Debentures, if at maturity, the holders' conversion price is less
than $0.25 at the time of conversion. Any Debentures redeemed by the Company
shall be paid in immediately available funds with interest at the rate of
fifteen percent. If the Company registers any securities for public resale,
holders who purchased Debentures will have the right to include any shares of
common stock in the offering in such registration.
This press release does not constitute an offer or solicitation to sell or
purchase any of the Company's securities. Any of the Company's securities
offered will not be registered under the Securities Act of 1933, as amended (the
"Securities Act"), and may not be offered or sold in the United States unless
registered under the Securities Act upon applicable exemptions from registration
under the Securities Act.
Eugene Seymour, MD, CEO, said, "The financing, when completed, is anticipated to
be sufficient to allow the Company to complete its HIV drug Hivicide 1(TM)
preclinical work, and bring it to the point of applying for an IND with the Food
and Drug Administration."
About NanoViricides - nanoviricides.com
NanoViricides, Inc. is a development stage company that is creating special
purpose nanomaterials for viral therapy. NanoViricides, Inc. has exclusive
license in perpetuity for technologies developed by Theracour Pharma for the
five virus types - HIV, HCV, Herpes, Asian (bird) flu and Influenza. A
NanoViricide(TM) is a nanoparticle that contains an encapsulated active
pharmaceutical ingredient and targets it to a specific type of virus. When a
NanoViricide(TM) drug particle enters the patient's blood stream, it attacks and
immobilizes circulating virus particles. Once this is done, the active
pharmaceutical ingredient is injected into the virus by the NanoViricide(TM)
particle, destroying it. The company plans to develop novel NanoViricide(TM)
drugs first against HIV, and anticipates that in 2006, it will license the
products to major pharmaceutical companies.
SOURCE: NanoViricides, Inc.
CONTACT: NanoViricides, Inc., New York
Leo Ehrlich, 917-853-6440
leo@nanoviricides.com
or
Anil R. Diwan, Ph.D.
adiwan@snet.net
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