CHICAGO, Sept. 28 /PRNewswire-FirstCall/ -- Advanced Life Sciences Holdings, Inc. (OTC Bulletin Board: ADLS), a biopharmaceutical company engaged in the discovery, development and commercialization of novel drugs in the therapeutic areas of infection, oncology and respiratory diseases, today announced it has received $1.5 million of proceeds from the exercise of the unit warrants issued in the public offering of securities announced on July 1, 2010. Each unit warrant entitled its holder to purchase one additional unit, consisting of 100 shares of the Company's common stock and 100 stock warrants, at the same price as the public offering in July. The Company also announced today that it has entered into an agreement with YA Global Master SPV LTD. ("YA") for the sale of up to $10 million of the Company's common stock over a two-year period.
"We are extremely pleased with the level of proceeds that we received through the exercise of unit warrants and the commitment by YA to participate in the corporate development of Advanced Life Sciences. The proceeds raised from the exercise of unit warrants will support our working capital needs and the commitment from YA will provide Advanced Life Sciences with access to capital as needed. The intent of the commitment from YA is to provide a flexible source of capital with a known cost at a minimal discount to market and without warrant overhang," said John L. Flavin, President and Chief Financial Officer.
Under the terms of the agreement with YA, Advanced Life Sciences may from time to time, in its discretion, sell newly-issued shares of its common stock to YA at a discount to market of 5%. The amount of each advance is generally limited to $300,000 in any weekly period. Advanced Life Sciences is not obligated to utilize any of the $10 million available under the agreement and there are no minimum commitments or minimum use penalties.
The commitment does not impose any restrictions on the Company's operating activities. During the term of the agreement, YA is prohibited from engaging in any short selling transactions related to the Company's common stock. Advanced Life Sciences issued 1,984,127 shares of common stock to YA as a commitment fee in connection with entering into the agreement. Advanced Life Sciences also agreed to file with the SEC a registration statement, the effectiveness of which is a condition to the purchase and sale of any shares, with respect to common stock issuable under the YA agreement. The number of shares included in the registration statement will be limited to one-third of our outstanding common stock held by non-affiliates, or approximately 54 million shares.
To view a newly-posted overview video of the Company please visit: http://www.advancedlifesciences.com/video.
About Advanced Life Sciences
Advanced Life Sciences is a biopharmaceutical company engaged in the discovery, development and commercialization of novel drugs in the therapeutic areas of infection, cancer and respiratory diseases. The Company's lead candidate, Restanza, is a novel once-a-day oral antibiotic in late-stage development for the treatment of respiratory tract infections including CABP and biodefense pathogens including anthrax, plague and tularemia. For more information, please visit us on the web at www.advancedlifesciences.com or follow us on twitter at http://twitter.com/advancedlifesci.
Any statements contained in this press release that relate to future plans, events or performance are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent our management's judgment regarding future events. The Company does not undertake any obligations to update any forward-looking statements whether as a result of new information, future events or otherwise. Our actual results could differ materially from those discussed herein due to several factors including the success and timing of our clinical trials and our ability to obtain and maintain regulatory approval and labeling of our product candidates; our plans to develop and commercialize our product candidates; the loss of key scientific or management personnel; the size and growth of potential markets for our product candidates and our ability to serve those markets; regulatory developments in the U.S. and foreign countries; the rate and degree of market acceptance of any future products; the accuracy of our estimates regarding expenses, future revenues and capital requirements; our ability to obtain financing on terms acceptable to us; our ability to obtain and maintain intellectual property protection for our product candidates; the successful development of our sales and marketing capabilities; the success of competing drugs that become available; and the performance of third party collaborators and manufacturers. These and additional risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission.
|SOURCE Advanced Life Sciences Holdings, Inc.|
Copyright©2010 PR Newswire.
All rights reserved