March 17, 2017 10:46am
Priced at $0.26 …
Most of the proceeds are spoken for to many past investors having negotiated a $11 M note payment schedule with Whitebox Advisors and total liabilities of $53.9 M as of Sept. 30 including a $135,000 6% senior unsecured note that matured in 2011, an 8% unsecured note for $50 K held by a related party, and a mortgage for 10.3 M at 12%.
NWBO is DOWN -$0.098 or -28.43% to $0.25
NWBO has entered into definitive agreements with institutional investors for a registered direct offering with gross proceeds of $7.5 M priced at $0.26.
NWBO will sell approximately 28.8 million shares of common stock at a purchase price of $0.26 per share, or pre-funded warrants in lieu of shares.
Investors will … also receive five year Class A warrants to purchase up to approximately 21.6 M shares of common stock with an exercise price of $0.26 per share.
NWBO also will receive three month Class B warrants to purchase up to approximately 21.6 million shares of common stock with an exercise price of $1.00 per share.
Together with affiliates, of its stock from exceeding 4.99%, investors will receive pre-funded Class C warrants which are exercisable immediately. The exercise price of these Class C warrants will also be $0.26 per share, with $0.25 per share pre-funded at the time of closing and another $0.01 per share payable upon exercise of each Class C Warrant.
The Bottom Line: Since July 2004, NWBO has raised $304.7 M in 24 PIPE transactions that include 7 debt deals, a pair or equity lines and 15 sales of common shares
Rodman & Renshaw, a unit of H.C. Wainwright & Co., acted as the exclusive placement agent which is expected to close on or about March 22, 2017, subject to satisfaction of customary closing conditions.