Navigation Links
Poniard Pharmaceuticals Completes Voluntary Prepayment of Term Loans and Secures New Committed Equity Financing Facility
Date:12/21/2010

SAN FRANCISCO, Dec. 21, 2010 /PRNewswire-FirstCall/ -- Poniard Pharmaceuticals, Inc. (Nasdaq: PARD), a biopharmaceutical company focused on innovative oncology therapies, announced today that it has completed the voluntary prepayment of the $12.35 million aggregate principal, interest and fees due under its senior secured loan facility with GE Business Financial Services Inc. and Silicon Valley Bank.  The Company announced on December 16, 2010 that it had provided notice of such payment to the lenders.  The prepayment satisfies all financial obligations of the Company under the credit facility.  As a result, the credit facility, including all restrictive and financial covenants set forth in the loan agreement, has been terminated and all security interests and other liens held by the lenders in the Company's property and assets have been released and discharged.  

The Company also announced today that it has entered into a committed equity financing facility under which it may sell up to $10 million of its registered common stock to Small Cap Biotech Value, Ltd. over an approximately 18-month period.  Poniard is not obligated to utilize any portion of the equity facility and remains free to enter into other financing transactions.  Poniard will determine, at its sole discretion, the timing, dollar amount and floor price per share for any draw under the facility, subject to certain conditions.  When and if Poniard elects to use the facility, the number and price of shares sold in each draw will be determined by a contractual formula, whereby the Company will issue shares to Small Cap Biotech at a pre-negotiated discount to the volume weighted average price of Poniard's common stock over a preceding period of trading days.  Reedland Capital Partners, an Institutional Division of Financial West Group, Member FINRA/SIPC, acted as placement agent for the initial signing of the facility and will receive a fee for its services at the time of any draw under the facility.

In connection with the execution of the equity financing facility, Poniard will issue to Small Cap Biotech 221,218 shares of registered common stock as a commitment fee.  The offer and sale of shares by Poniard under the equity facility have been registered pursuant to a shelf registration statement declared effective with the Securities and Exchange Commission on June 2, 2009.  Poniard intends to use the net proceeds from any sale of shares under the facility for working capital and other general corporate purposes.

"Repayment of our secured credit facility removes significant restrictions on our cash and assets and gives Poniard additional flexibility for the completion of our review of strategic alternatives," said Ronald A. Martell, chief executive officer of Poniard Pharmaceuticals.  "The new equity financing facility provides us with access to additional working capital to support our operations, while allowing for control over timing and dilution."

Immediately prior to entering into the new equity financing facility with Small Cap Biotech, the Company and Commerce Court Small Cap Value Fund, Ltd., by mutual agreement, terminated the equity financing facility between the Company and Commerce Court dated February 23, 2010.  The Company completed a drawdown of 4,229,000 shares of its common stock under the Commerce Court facility on March 15, 2010, for which the Company received net proceeds of approximately $6.1 million.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

About Poniard Pharmaceuticals

Poniard Pharmaceuticals, Inc. is a biopharmaceutical company focused on the development and commercialization of innovative oncology products.  For additional information please visit http://www.poniard.com.

Forward Looking Statements

This release contains forward-looking statements describing, among other things, the Company's projected financial position and future operations, the adequacy of its cash resources, the Company's ongoing evaluation of strategic alternatives, the potential results of such evaluation process, the Company's goal of optimizing and realizing shareholder value from the picoplatin, the anticipated benefits to the Company of prepaying its secured credit facility, the Company's potential future sales of common stock under the equity financing facility, the availability of capital from time to time under the equity facility, and the proposed use of proceeds from any draw downs under such facility.  Actual results and events may differ materially from those indicated in these forward-looking statements based on a number of factors, including risks and uncertainties inherent in the Company's business, including the Company's anticipated future operating losses, need for future capital and ability to obtain future funding on favorable terms or at all; the risk that strategic relationships may not be established on a timely basis, on terms that are ultimately favorable to the Company, or at all; the potential safety, efficacy and commercial viability of picoplatin; the risk that the Company's additional analyses of data from clinical trials of picoplatin may produce negative or inconclusive results, or may be inconsistent with previously announced results or previously conducted trials; the Company's ability to retain key personnel; competition from third parties; the Company's ability to preserve and protect its intellectual property rights; the Company's dependence on third-party manufacturers, suppliers and other contractors; changes in technology, government regulation and general market conditions; the receipt and timing of FDA and other required regulatory approvals, if at all; and the risks and uncertainties described in the Company's current and periodic reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2009 and its Quarterly Report on Form 10-Q for the quarter ended September 30, 2010.  Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release.  The Company undertakes no obligation to update any forward-looking statement to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.


'/>"/>
SOURCE Poniard Pharmaceuticals, Inc.
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. Poniard Pharmaceuticals Announces Plan for Voluntary Prepayment of Term Loan and Transfer to Nasdaq Capital Market
2. Poniard Pharmaceuticals Reports Third Quarter 2010 Financial Results
3. Poniard Pharmaceuticals Awarded $244,479 Grant Under Qualifying Therapeutic Discovery Project Program
4. Poniard Pharmaceuticals Receives NASDAQ Deficiency Notice Related to Minimum Bid Price
5. Poniard Announces Final Data from Phase 3 SPEAR Trial of Picoplatin in Small Cell Lung Cancer
6. Poniard Pharmaceuticals Announces $6.3 Million Financing
7. Poniard Pharmaceuticals Secures $20 Million Committed Equity Financing Facility
8. Poniard Pharmaceuticals to Present at 12th Annual BIO CEO and Investor Conference
9. Poniard Pharmaceuticals Announces Management Changes and Reduction in Force
10. Poniard Pharmaceuticals Announces Phase 2 Trial of Picoplatin in Metastatic Colorectal Cancer Meets Primary Endpoint and Study Objectives
11. Poniard Pharmaceuticals Announces Updated Positive Clinical Data from Phase 2 Trial of Picoplatin in Colorectal Cancer and New Phase 1 Cardiac Safety Trial Results
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:7/12/2017)... Lilly and Company (NYSE: LLY ) has entered ... patent litigation in the U.S. District Court for the Eastern ... ® (tadalafil) unit dose patent. This patent was previously ... the agreement, Cialis exclusivity is now expected to end at ... dose patent for Cialis is valid and infringed by companies ...
(Date:7/11/2017)... July 11, 2017  Dr. Echenberg, founder of Echenberg Institute, is announcing ... patients who suffer from painful intercourse and other painful pelvic pain conditions ... due to menopause. ... VuVatech LLC ... Sarasota, Florida -based start-up company, VuVatech LLC, fills a ...
(Date:7/10/2017)... -- The tenth annual BioPharm America™ will take ... the Sheraton Boston Hotel, September 26–27. The event will ... makers and innovative biotech startup companies. The event is ... impactful days. BioPharm America is now part of Biotech ... with 4,500+ life science industry influencers participating in 8+ ...
Breaking Medicine Technology:
(Date:7/21/2017)... ... 21, 2017 , ... Hospital M&A activity slowed in the second quarter of ... acquisitions rose to 23 in the second quarter, up 15% from the 20 publicly ... announced deals in the year-ago second quarter. Only four of the transactions disclosed a ...
(Date:7/21/2017)... ... ... The House of Yahweh in Abilene, Texas, has written a new post this week that ... to be more open about positive changes. Yisrayl says the use of force is not ... positive way to solve all; yes, all issues, and he is ready to share this ...
(Date:7/21/2017)... ... ... “Kids aren't born knowing how to regulate their emotions any more than ... St. Louis-based positive education company Generation Mindful. To help with that daunting task, she ... , The kit uses colorful, engaging and educational illustrations and games to teach children ...
(Date:7/21/2017)... ... July 21, 2017 , ... In the ... from the Multicenter Orthopaedics Outcome Network (MOON) demonstrated that patients could perform sports-related ... though activity levels decline over time. The study, presented today at the ...
(Date:7/20/2017)... ... July 20, 2017 , ... TransPixel Volume 2 is a set of ... FCPX timeline. This effect isolates horizontal and vertical lines of pixels and sorts their ... rotating or flipping animation and can be changed using a drop-down menu. Create amazing ...
Breaking Medicine News(10 mins):