Novogen Limited Raises A$4.1 Million In Private Placement To US Institutions

SYDNEY, Dec. 17, 2014 /PRNewswire/ -- Novogen Limited (ASX:NRT; NASDAQ:NVGN): Australian/US biotechnology company, Novogen Limited, today announced that it has entered into definitive agreements today to sell to institutional investors in the Unites States in a private placement for aggregate gross proceeds of approximately A$4.1M. The closing of the offering is expected to occur on or about 22 December 2014 and is subject to the satisfaction of customary closing conditions.

Under the terms of the offering, the Company will sell an aggregate of approximately 32.85 million ordinary shares at a price of A$0.125. The Company also agreed to grant to the investors, options to purchase up to an aggregate of approximately 32.85 million ordinary shares at an exercise price of A$0.15 per share. The options are exercisable for a term of five years, and the exercise price is subject to future adjustment for various events, such as stock splits or dividend distributions. The securities offered and sold in the private placement have not been registered under the Securities Act of 1933, as amended, or any United States state securities laws, and may not be offered or sold in the United States absent registration, or an applicable exemption from registration under the Securities Act and applicable state securities laws. The Company has agreed to cause the registration in the United States of ADRs containing the ordinary shares purchased by the United States investors and the shares underlying the options for resale in the United States.

The Company intends to use the proceeds of the private placement for ongoing and future research programs into the development of the Company's drug pipeline and for working capital purposes.

HC Wainwright is the exclusive placement agent for the offering.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities.

Dr.Graham Kelly, Novogen Group CEO, said, "This placement more than makes up for the shortfall in the recent capital-raise and gives the Company the solid runway it requires in its transition into a clinical-stage company."

About Novogen Limited

Novogen is a public, Australian drug-development company whose shares trade on both the Australian Securities Exchange ('NRT') and NASDAQ ('NVGN'). The Novogen group includes US-based, CanTx Inc, a joint venture company with Yale University.

Novogen has two main drug technology platforms: super-benzopyrans (SBPs) and anti-tropomyosins (ATMs). SBP compounds have been designed to kill the full heterogeneity of cells within a tumor, including the cancer stem cells. The molecular target is a trans-membrane electron-transfer pump mechanism oncogene that is common to all cancer cells. Cells die by respiratory distress and mitochondrial disintegration.

The ATM compounds target the micro-filament component of the cancer cell's cytoskeleton and have been designed to combine with anti-microtubular drugs (taxanes, vinca alakaloids) to produce comprehensive and fatal destruction of the cancer cell cytoskeleton.

The Company pipeline comprises three SBP drug candidates (TRXE-002, TRXE-009, TRXE-0025) and one ATM drug candidate ('Anisina').

Further information is available on our websitewww.novogen.com.

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SOURCE Novogen Ltd