Navigation Links
Carrington Completes $8 Million Financing
Date:8/23/2007

Funding for:

- Human Tests of Nasal Powder Vaccine with Bird Flu

- Preservative Free

- No Cold Storage Required

- Room Temperature More Than 30 Months

- New Equipment For Operating Efficiencies

- Increase Working Capital

IRVING, Texas, Aug. 23 /PRNewswire-FirstCall/ -- Carrington Laboratories, Inc. (Pink Sheets: CARN) today announced it has entered into definitive agreements with certain institutional investors for the second tranche of an $8 million private placement of convertible debentures and common stock warrants subject to customary closing conditions. The first tranche of the private placement totaled approximately $4.4 million and closed on April 26, 2007. The second tranche totaled approximately $3.6 million.

The senior secured convertible debentures bear interest at a rate of ten percent per year. The debentures issued at the first closing are convertible into shares of the Company's common stock at an initial conversion price of $2.01 per share. The debentures issued at the second closing are convertible into shares of the Company's common stock at an initial conversion price of $0.80 per share, a premium over the closing market price on the date of the closing.

As part of this second closing transaction, Carrington also issued additional warrants that are exercisable to purchase 4,543,714 shares of the Company's common stock at a price of $0.80 per share. At the first closing there were two sets of warrants issued. Those warrants issued at the first closing and tied to the first tranche remain priced at $2.01, while those tied to the second tranche are priced at $0.80. The warrants are not exercisable until October 25, 2007 and have a seven-year term. The Company may potentially raise an additional $6 million from the issue of the warrants if all the investor warrants are exercised in full.

Subject to certain exceptions, the conversion price for the debentures and the exercise price for the warrants will be subject to anti-dilution adjustments. The debentures may be redeemed in full at any time by Carrington, at its option, subject to certain conditions, including triggering the exercisability of certain additional warrants. In addition, under certain circumstances Carrington may force the conversion of the debentures, depending on the performance of the Company's common stock.

The Company has agreed to file a shelf registration statement with the Securities and Exchange Commission on or before August 31, 2007, registering the resale of the common stock underlying the debentures and the warrants. The securities to be issued in the private placement have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States in the absence of an effective registration statement or an exemption from such registration requirements. Dawson James Securities, Inc. served as exclusive placement agent.

The Company intends to use the proceeds for financing to further the development of its DelSite subsidiary's unique drug and vaccine delivery technologies and for general corporate purposes. Carlton E. Turner, Ph.D., D.Sc., President and CEO of Carrington, stated, "With the financing completed, we have the resources to rapidly proceed with the next steps of validating DelSite's nasal delivery technology, first with a toxicology study that was initiated last week, and then a full-scale human safety trial that we hope to commence by year-end."

About Carrington

Carrington Laboratories, Inc. is an ISO 9001-certified, research-based, biopharmaceutical and consumer products company currently utilizing naturally-occurring complex carbohydrates to manufacture and market products for mucositis, radiation dermatitis, wound and oral care, as well as to manufacture and market the nutraceutical raw material Manapol(R). Carrington also manufactures and markets consumer products and manufactures quality products for other companies. Manufacturing operations comply with cGMP standards. Carrington's DelSite Biotechnologies subsidiary is developing its proprietary GelSite(R) technology designed to provide controlled release of peptide and protein-based drugs. Carrington's technology is protected by more than 130 patents in 26 countries. Select products carry the CE mark, recognized by more than 20 countries around the world. For more information, visit http://www.carringtonlabs.com.

Certain statements in this release concerning Carrington may be forward-looking. Actual events will be dependent upon a number of factors and risks including, but not limited to: subsequent changes in plans by the Company's management; delays or problems in formulation, manufacturing, distribution, production and/or launch of new finished products; changes in the regulatory process; changes in market trends; and a number of other factors and risks described from time to time in the Company's filings with the Securities & Exchange Commission.


'/>"/>
SOURCE Carrington Laboratories, Inc.
Copyright©2007 PR Newswire.
All rights reserved

Related biology technology :

1. Sonic Foundry completes $11.25M stock offer
2. Orion Energy completes $5M capital round
3. RedPrairie completes MARC acquisition
4. Metavante completes purchase of check processing firm
5. GE completes $1.2 billion acquisition
6. M & Is Metavante completes Brasfield Corp. acquisition
7. Metavante completes GHR Systems acquisition
8. Metavante completes TREEV acquisition
9. Johnson Controls completes sale of French unit
10. OpGen completes $5 million investment round
11. UW Hospital completes deployment of error-reducing technology
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:12/8/2016)... PRINCETON, N.J. , Dec. 8, 2016 ... late-stage biopharmaceutical company focused on developing and commercializing products ... medical need, announced today that it will be hosting ... 8:30-9:30 am ET on the origins of innate defense ... as a review of oral mucositis and the recently ...
(Date:12/8/2016)... -- Partnering to fuel Philadelphia,s innovative ... Southeastern Pennsylvania (" Ben Franklin "); ... Blue Cross; and Safeguard Scientifics ("Safeguard") (NYSE: ... million funding initiative over a four year period to ... a burgeoning economic vitality in digital health, Ben ...
(Date:12/7/2016)... ... December 07, 2016 , ... ... that it has become a Wonderware Certified System Integrator Partner. Huffman Engineering ... Schneider Electric Software. , “The System Integrator Partner certification gives customers confidence that ...
(Date:12/7/2016)... 7, 2016  Nordion, a standalone business of ... welcome today,s award by the United States Department ... of the Phase II cooperative agreement funding to ... the University of Missouri Research Reactor Center (MURR ... the establishment of a new, reliable supply of ...
Breaking Biology Technology:
(Date:11/29/2016)... 29, 2016 BioDirection, a privately held medical ... the objective detection of concussion and other traumatic brain ... completed a meeting with the U.S. Food and Drug ... Pre-Submission Package. During the meeting company representatives reviewed plans ... precursor to commencement of a planned pilot trial. ...
(Date:11/28/2016)... "The biometric system market projected to ... system market is in the growth stage and is ... biometric system market is expected to be valued at ... 16.79% between 2016 and 2022. Government initiative in adoption ... rising use of biometric technology in financial institutes and ...
(Date:11/22/2016)... --  MedNet Solutions , an innovative SaaS-based eClinical technology ... is pleased to announce that the company has been ... Awards as "Most Outstanding in eClinical Solutions" for ... recognition and growth for MedNet, which has effectively supported ... iMedNet ™ , MedNet,s flagship eClinical technology ...
Breaking Biology News(10 mins):