form4 out, ~365.000shares @1.70-1.77
SEATTLE, May 30, 2013 /PRNewswire/ - Oncothyreon Inc. (NASDAQ: ONTY) today announced that it has agreed to sell 5,000,000 shares of its common stock and warrants to purchase 5,000,000 shares of common stock for gross proceeds of approximately $10 million. The common stock and warrants are being sold in units, with each unit consisting of one share of common stock and a warrant to purchase one share of common stock at an exercise price of $5.00 per share. Each unit is being sold at a price of $2.00. The warrants will be exercisable at any time on or after the six-month and one-day anniversary of the issuance date of the warrants and until the fifth anniversary of the date the warrants first became exercisable.
The shares were offered and are being sold to Biotechnology Value Fund, L.P. and other affiliates of BVF Partners L.P. in a registered direct offering conducted without an underwriter or placement agent. The net proceeds from the offering, after deducting estimated offering expenses, will be approximately $9.8 million. The offering is expected to close on or about June 4, 2013.
Oncothyreon intends to use the net proceeds of the offering to fund a portion of the $10 million upfront fee payable under its development and commercialization agreement with Array BioPharma Inc. and for general corporate purposes, including research and product development, such as funding pre-clinical studies and clinical trials and otherwise moving product candidates towards commercialization and the possible acquisition or licensing of new product candidates or technology.
