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Kalytera Therapeutics, Inc. Announces Closing of Brokered Private Placement
Kalytera Therapeutics, Inc. Announces Closing of Brokered Private Placement.
About this update from Claritas Pharmaceuticals Inc.
[{"type":"text","content":"\n\n Not for distribution to U.S. Newswire Services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of U.S. Securities laws.\n SAN FRANCISCO and TEL AVIV, Israel, Dec. 20, 2017 (GLOBE NEWSWIRE) -- Kalytera Therapeutics, Inc. (TSX-V:KALY) (OTCQB:KALTF) (the “Company” or “Kalytera”) is pleased to announce the closing of its previously announced brokered private placement offering (the “Offering”) of CDN$5,750,000 aggregate principal amount of convertible debenture units at a price of CDN$1,000 per convertible debenture unit, which includes the full exercise by the Echelon Wealth Partners Inc. (“Echelon”) of its option to sell an additional 750 convertible debenture units.  Echelon acted as agent for and on behalf of the Company in connection with the Offering.  The net proceeds of the Offering will be used by the Company to advance its Phase 2 clinical program evaluating the use of cannibidiol in the prevention of graft versus host disease, as well as for general corporate purposes.  Completion of the Company’s Phase 2 program will be required by the FDA prior to the initiation of a pivotal Phase 3 study. The Company anticipates that the Phase 2 program will be completed during the second half of 2018, following which the Company will initiate the Phase 3 study as quickly as possible. All securities issued in connection with the Offering are subject to a hold period expiring on April 21, 2018 in accordance with applicable Canadian securities laws.  Pursuant to the Offering, the Company issued a total of CDN$5,750,000 of 9.0% senior secured convertible debentures (the “Convertible Debentures”) and 22,114,500 common share purchase warrants (the “Warrants”).  The Debentures are convertible at the option of the holder into common shares of the Company (the “Common Shares”) at any time prior to the close of business on December 20, 2019 (the “Maturity Date”) at a conversion price of CDN$0.13 per Common Share (the “Conversion Price”).  Beginning on April 21, 2018, the Company may force the conversion of all of the principal amount of the then outstanding Convertible Debentures at the Conversion Price on 30 days prior written notic...