VIENNA, Va., May 22 /PRNewswire-FirstCall/ -- Modigene Inc., a Nevada corporation (OTC Bulletin Board: MODG - News), a therapeutically driven biopharmaceutical company focused on the development and commercialization of long-acting versions of approved therapeutic proteins which address an existing combined market of more than $20 billion, today announced the completion of the second and final closing of its private placement, bringing total gross proceeds in the private placement to approximately $13 million, and $15 million overall.
As disclosed in a report on Form 8-K filed by the Modigene on May 14, 2007, Modigene issued 6,418,808 shares for a total of $9,628,212 million, and 1,604,702 warrants in the first closing of the private placement. With the additional $2 million investment from Dr. Frost, Dr. Hsiao, Mr. Rubin and Dr. Uppaluri, total gross proceeds were approximately $11.6 million. The warrants expire five years from issuance, and have an exercise price of $2.50. In addition, Modigene had the right to raise additional funds in the private placement, up to an aggregate of $13 million, such that with the additional $2 million investment from Dr. Frost, Dr. Hsiao, Mr. Rubin and Dr. Uppaluri, total gross proceeds would approximately be $15 million, and expected to close on any such additional funds as soon as the investor subscription materials (including final clearance of funds) were complete. On May 21, 2007, the Company completed this procedural second and final phase of the private placement and closed on the sale of an additional 2,247,858 shares and 561,965 warrants, of the same terms as issued in the first closing, for total additional cash proceeds of $3,371,787.
ABOUT MODIGENE
Modigene Inc. (OTC Bulletin Board: MODG - News) is a publicly-traded biopharmaceutical company utilizing patented technology to develop longer- acting, proprietary versions of already approved therapeutic proteins that currently generate billions in annual global sales. Modigene is currently developing long-acting versions of human growth hormone, erythropoietin, interferon beta, and GLP-1 -- each representing a multi-billion dollar market. For more information on Modigene, please visit www.modigeneinc.com.
Safe Harbor Statement
This document contains forward-looking statements, including without limitation, statements concerning the completion of an equity financing. The forward-looking statements are also identified through use of the words “potential,” “anticipate,” “planned” and other words of similar meaning. Actual results may differ significantly from the expectations contained in the forward-looking statements. The risks and uncertainties, including those related to the timing or successful completion of Modigene’s product development and commercialization activities, are detailed in Modigene’s filings with the Securities and Exchange Commission.
Source: Modigene Inc.
