FLEMINGTON, N.J.--(BUSINESS WIRE)--NovaDel Pharma Inc. (AMEX: NVD) announced today that it completed the initial closing of $1,475,000 of its previously announced private placement of up to $4,000,000 in secured convertible promissory notes and accompanying warrants on May 30, 2008. The purchasers are ProQuest Investments II, L.P., ProQuest Investments II Advisors Fund, L.P. and ProQuest Investments III, L.P. (the “Purchasers”). The balance of the funding is at the Company’s option and subject to stockholder approval (the “Subsequent Closing”). The notes issued in the initial closing are convertible into shares of the Company’s common stock at a conversion price of $0.295 per share. The Purchasers also received five-year warrants to purchase 3.0 million shares of the Company’s common stock at an exercise price of $0.369 per share.
