ISELIN, N.J., Oct. 1 /PRNewswire-FirstCall/ -- SyntheMed, Inc. (OTC Bulletin Board: SYMD), a biomaterials company engaged in the development and commercialization of anti-adhesion products and other surgical implants, announced today that it has completed the initial closing of a private placement in which it received $4.0 million in gross proceeds.
The transaction involved the issuance to investors of ten million units at $0.40 per unit. Each unit consists of one share of common stock and one three-year warrant entitling the holder to purchase one share of common stock at $0.50 per share. The transaction was placed through an agent with a consortium of European investors. The Company is authorized to raise an additional $2.0 million in the private placement on the same terms.
"We are very pleased with the positive response of the investors who participated in this placement," stated Robert Hickey, President and CEO. "The proceeds will allow us to advance the development of a portfolio of new anti-adhesion products and to prepare for the launch of REPEL-CV(R) Adhesion Barrier in the United States."
The securities offered in the private placement have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
Adhesions, or scar tissue, are fibrous structures that connect tissue surfaces that are not normally joined. The presence of adhesions represents a prevalent and serious complication in secondary surgical procedures, increasing the length, cost and risk of the surgical procedure and can contribute to such post-operative complications as infertility, bowel obstruction, limited mobility and chronic pain.
REPEL-CV is a bioresorbable adhesion barrier film designed to be placed
over the surface of the heart at the conclusion of an open-heart surgical
|SOURCE SyntheMed, Inc.|
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