SAN MARINO, Calif.,July 13 /PRNewswire-FirstCall/ -- Viral Genetics (Pink Sheets: VRAL), a biotechnology company that develops drug compounds for HIV/AIDS, autoimmune diseases, and cancer, has retired the majority of its $3.5 million of convertible debt. The company also retired other debt and recently issued new shares.
The convertible debt originated with a March 2006 financing through the issuance of shares. This transaction originally was disclosed March 29, 2006, in a report filed on Form 8-K, with amendments filed March 2, 2007, and August 18, 2008. The company has paid all but approximately $110,000 of the principal on the $2.9 million of 10% senior secured amortizing convertible notes issued in that financing.
At that time, eleven institutional purchasers also acquired approximately $598,000 of unsecured convertible notes held by other third parties. These notes are now substantially discharged through conversion to stock, and have approximately $8,000 of remaining amounts owed under them.
All payments on both series of notes were made in shares of common stock of the company. Since Viral Genetics' February 17, 2009 Form 8-K report, the company has issued 33,751,347 common shares for the repayment of these notes.
Since March 2009, Viral Genetics has issued shares in exchange for accounts payable, advances, and private placements valued at approximately $700,000. The private placements included 33,142,800 shares and 24,200,000 warrants. Each warrant entitles the holder to purchase common stock for $0.03 per share, expiring May and June 2011. Of the shares, 19,452,800 were issued under Regulation 504 financing.
In May 2009, the company issued 5,788,945 shares and 11,577,890 warrants for advances of cash previously received in 2008 and 2009. Each of these warrants entitles the holder to acquire one share of common stock a
|SOURCE Viral Genetics, Inc.|
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