Cambridge Heart, Inc. (OTCBB: CAMH), developer of non-invasive diagnostic tests for cardiac disease, today announced that on December 20, 2010 it completed a private placement to accredited investors. The transaction raised gross proceeds of $2.9 million and consisted of Units that were comprised of one share of common stock and a warrant to purchase one share of common stock.
“The proceeds from this transaction will provide the capital necessary to fund operations as we execute on the next phase of commercialization for our MTWA module and continue clinical work related to the application of MTWA to identify patients with ischemia.”
The Company sold 14,500,000 Units at a price of $0.20 per Unit. Each warrant included in the Unit entitles the holder to purchase one share of common stock for $0.25 for a period of five years from the date of issuance. Exercise of the warrants would provide an additional $3.6 million in capital. Dawson James Securities, Inc. acted as selling agent in the Offering.
The Company intends to file a Registration Statement covering the resale of the common stock and the shares of common stock issuable upon the exercise of the warrants in connection with the offering on or before January 31, 2011.
Cambridge Heart President and CEO Ali Haghighi-Mood said, "The proceeds from this transaction will provide the capital necessary to fund operations as we execute on the next phase of commercialization for our MTWA module and continue clinical work related to the application of MTWA to identify patients with ischemia."
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