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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?

To: schzammm who wrote (4558)	8/27/2001 9:06:44 PM
From: Jibacoa	Read Replies (1) \| Respond to of 52153

Schammm: The company looks interesting. As I understand it, the conversion price of the $25 or $30 million of new "special warrants" issued in July is $4.40. The previous "special warrants" conversion price was $3. The stock price has appreciated more than 300% since January when it was trading at $1. "A syndicate of investment dealers led by TD Securities Inc. under which the underwriters have agreed to purchase 5,700,000 special warrants of the company at a price of $4.40 per special warrant, for gross proceeds of $25,080,000. In addition, the syndicate has the option, until closing, to purchase up to an additional 1,140,000 special warrants which, if exercised, would increase the offering to $30,096,000. The offering is scheduled to close on or about July 19th, 2001." They lost $3.3 million or $0.07 per share on the 1st Q ending in March (that means they had around 47 million shares oustanding) and the cash position at that time was $14.6 million (or $0.31 cash/share). If they raised $25 million in July and don't increase their burn rate (currently, reported to be around $1 million per month)they should have enough cash to meet expenses for the next 3 years without additional financing. The earliest revenues from the commercialization of ISAtx247 are not expected until 2004. Please correct me if I am wrong or have mistaken information on any of the above. Bernard