Idera Pharmaceuticals (Nasdaq: IDRA) today announced that it has received commitments from certain institutional investors to purchase approximately $15 million of securities in a registered direct offering. Idera expects to receive net proceeds of approximately $14.2 million after deducting placement agent fees and other offering expenses.
In the offering Idera has agreed to sell approximately 4.0 million units, each unit consisting of one share of common stock and a warrant to purchase 0.40 of a share of common stock. The units will be sold at a price of $3.71, which price was calculated based on the closing bid price of the Company's common stock on July 30, 2010. The warrants will be exercisable at a price of $3.71 per share beginning immediately and will expire five years from the date that the warrants are issued. The offering is expected to close by August 5, 2010, subject to customary closing conditions.
Idera intends to use the net proceeds from the transaction for general corporate purposes including continuing to fund clinical development of IMO-2125, a TLR9 agonist, currently in two Phase 1 trials for the treatment of Hepatitis C Virus infection and IMO-3100, a TLR 7/9 antagonist currently in Phase 1 trials for the treatment of autoimmune and inflammatory diseases, and other preclinical candidates targeted to Toll-like receptors.
Rodman & Renshaw LLC, a subsidiary of Rodman Capital Group Inc. (Nasdaq: RODM) acted as the sole placement agent for the transaction.
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