In four short months DSCO prices another offering, again with miserable terms:
>>WARRINGTON, Pa., June 16, 2010 (GLOBE NEWSWIRE) -- Discovery Laboratories, Inc. (Nasdaq:DSCO - News) today announced that it intends to offer, subject to market and other conditions, shares of its common stock and common stock purchase warrants. The warrants consist of five-year warrants and nine-month warrants. The securities are being offered in an underwritten public offering. The offering is expected to price before 9:30 a.m. EDT on June 17, 2010.
Lazard Capital Markets LLC is acting as the sole book-running manager for the offering and Boenning & Scattergood, Inc. is acting as co-manager.<<
and this is 3 DAYS AFTER a financing deal with Knightsbridge. How much do these guys need to twiddle their thumbs and run animal studies? Sheesh.
Discovery Laboratories Inc. secured a new equity financing deal Monday with Kingsbridge Capital Ltd. for up to $35 million of capital over three years.
Kingsbridge, a London-based private investment group, agreed to buy up to 31.6 million newly issued shares of Discovery Labs’ common stock. Discovery (NASDAQ:DSCO) of Warrington, Pa., will be able determine the exact timing and amount of any financings, subject to certain conditions and limitations. The biopharmaceutical company is not obligated to use any of the $35 million under the agreement, which does not restrict Discovery Labs' operating activities or prohibit it from entering into or completing debt or equity financings — other than those that would involve certain future-priced securities.
John G. Cooper, executive vice president and chief financial officer of Discovery, said the arrangement should “further strengthen our position as we work to resolve the sole remaining issue necessary to potentially gain [Food and Drug Administration] approval for Surfaxin for the prevention of respiratory distress syndrome in 2011 and advance the development of Surfaxin LS and Aerosurf, which we believe hold the promise to significantly advance neonatal respiratory medicine.”
In connection with the financial deal, known as a committed equity financing facility, Discovery Labs issued a warrant to Kingsbridge to buy up to 1.25 million shares of common stock at an exercise price of $0.4459 per share, which represents a 30 percent premium over the closing price of Discovery Labs' common stock on the date of issuance. The warrant will be exercisable beginning six months from the date of the agreement and will remain exercisable for five years.<<
Tuck |
