Jones Lang LaSalle
Unigene Enters into Agreement to Sell $13 Million in Equity Securities
Friday March 17, 6:30 am ET
FAIRFIELD, N.J.--(BUSINESS WIRE)--March 17, 2006--Unigene Laboratories, Inc. (OTCBB: UGNE - News) announced that it has agreed with an institutional investor to enter into a private placement with proceeds to Unigene of approximately $13 million. At the closing of the transactions, which the parties anticipate will occur on March 17, 2006, the investor is to receive 4 million shares of common stock at $3.25 per share and warrants to purchase 1 million shares of common stock at $4.25 per share which are exercisable for 5 years from the closing.
"This transaction significantly strengthens Unigene's financial position, allowing us to expand our existing programs while continuing to reduce corporate debt, and should further help to improve the prospects for listing our common stock on a national exchange," commented Dr. Warren P. Levy, President and CEO at Unigene. "Furthermore, we believe that increasing institutional ownership of our stock is desirable and may provide additional support and stability for future growth."
The securities to be sold in this private placement have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States in the absence of an effective registration statement or exemption from registration requirements. Unigene agreed to file a registration statement after the closing of the transaction for purposes of registering the resale of the shares of common stock issued in the private placement and the shares of common stock issuable upon exercise of the warrants.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the securities nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification of the securities under the securities laws of any such state.
About Unigene
Unigene Laboratories, Inc. is a biopharmaceutical company focusing on the oral and nasal delivery of large-market peptide drugs. Due to the size of the worldwide osteoporosis market, Unigene is targeting its initial efforts on developing calcitonin and PTH-based therapies. Fortical®, Unigene's nasal calcitonin product for the treatment of postmenopausal osteoporosis, received FDA approval and was launched in August 2005. Unigene has licensed the U.S. rights for Fortical to Upsher-Smith Laboratories, worldwide rights for its oral PTH technology to GlaxoSmithKline and worldwide rights for its calcitonin manufacturing technology to Novartis. Unigene's patented oral delivery technology has successfully delivered, in preclinical and/or clinical trials, various peptides including calcitonin, PTH and insulin. Unigene's patented manufacturing technology is designed to cost-effectively produce peptides in quantities sufficient to support their worldwide commercialization as oral or nasal therapeutics.
For more information about Unigene, call (973) 882-0860 or visit www.unigene.com. For information about Fortical, visit www.fortical.com.
Unigene Enters into Agreement to Sell $13 Million in Equity Securities
Friday March 17, 6:30 am ET
FAIRFIELD, N.J.--(BUSINESS WIRE)--March 17, 2006--Unigene Laboratories, Inc. (OTCBB: UGNE - News) announced that it has agreed with an institutional investor to enter into a private placement with proceeds to Unigene of approximately $13 million. At the closing of the transactions, which the parties anticipate will occur on March 17, 2006, the investor is to receive 4 million shares of common stock at $3.25 per share and warrants to purchase 1 million shares of common stock at $4.25 per share which are exercisable for 5 years from the closing.
"This transaction significantly strengthens Unigene's financial position, allowing us to expand our existing programs while continuing to reduce corporate debt, and should further help to improve the prospects for listing our common stock on a national exchange," commented Dr. Warren P. Levy, President and CEO at Unigene. "Furthermore, we believe that increasing institutional ownership of our stock is desirable and may provide additional support and stability for future growth."
The securities to be sold in this private placement have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States in the absence of an effective registration statement or exemption from registration requirements. Unigene agreed to file a registration statement after the closing of the transaction for purposes of registering the resale of the shares of common stock issued in the private placement and the shares of common stock issuable upon exercise of the warrants.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the securities nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification of the securities under the securities laws of any such state.
About Unigene
Unigene Laboratories, Inc. is a biopharmaceutical company focusing on the oral and nasal delivery of large-market peptide drugs. Due to the size of the worldwide osteoporosis market, Unigene is targeting its initial efforts on developing calcitonin and PTH-based therapies. Fortical®, Unigene's nasal calcitonin product for the treatment of postmenopausal osteoporosis, received FDA approval and was launched in August 2005. Unigene has licensed the U.S. rights for Fortical to Upsher-Smith Laboratories, worldwide rights for its oral PTH technology to GlaxoSmithKline and worldwide rights for its calcitonin manufacturing technology to Novartis. Unigene's patented oral delivery technology has successfully delivered, in preclinical and/or clinical trials, various peptides including calcitonin, PTH and insulin. Unigene's patented manufacturing technology is designed to cost-effectively produce peptides in quantities sufficient to support their worldwide commercialization as oral or nasal therapeutics.
For more information about Unigene, call (973) 882-0860 or visit www.unigene.com. For information about Fortical, visit www.fortical.com.
posted by Jones Lang LaSalle NJ News Blog at 9:59 AM
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