IGI, Inc. Announces $1.5 Million Private Equity Investment

BUENA, N.J.--(BUSINESS WIRE)--IGI, INC. (AMEX:IG) announced today that Pharmachem Laboratories, Inc. (“Pharmachem”) has made an equity investment of $1,500,000 into the Company, by purchasing 1,500,000 shares of the Company’s common stock. As previously reported, the $1,000,000 line of credit agreement the Company had in place with Pharmachem was cancelled earlier this year and was replaced with an eighteen month $1,000,000 revolving line of credit with Pinnacle Mountain Partners, LLC, which is owned by a significant shareholder of the Company. Loans under this new line of credit bear interest on the drawn funds, payable monthly, at a rate of prime plus 1.5% and are secured by the Company’s assets (other than the real property).