Tomahawk, WI 06/19/2014 (Basicsmedia) – Tetralogic Pharmaceuticals Corp (NASDAQ:TLOG), a bio-pharmaceutical company focused on developing and discovering novel small-molecule oncology therapeutics, has two products in its pipeline – Birinapant and SHAPE.
$47 Million Offering
On June 17, TLOG announced that it is all set to offer principal amount of $47 million and 8% of legally convertible notes due 2019, in an extensive private offering. The offer shall be sold to a host of institutional buyers, following the Rule 144A, under the amended Securities Act (1933).
TLOG confirmed that the notes shall be Tetralogic Pharmaceuticals Corp (NASDAQ:TLOG)’s unsubordinated and unsecured obligations, and shall warrant the right of payment pertaining to the company’s indebtedness. The notes can be used to clear the company’s unsubordinated unsecured liabilities and instances of indebtedness at the current juncture and in the future. The caveat applies directly to clear the liabilities concerned, pertaining to current and future indebtedness of TLOG and its subsidiaries.
Rules And Norms
TLOG confirmed in its release that the notes shall bear 8.00% interest per annum, payable solely in cash, on the 15th of June and December each year, semi-annually. The notes shall be convertible holistically, without any iota of deduction, before February 2019. On account of precedent ‘fundamental changes’, the holders would have right to completely purchase part of their own notes in the form of cash reserves, paying or delivering 100% of fixed principal amount pertaining to the notes purchased, without accrued interest levied.
TLOG Hopes To Notch Up $44 Million As Proceeds
TLOG conjectured that these net proceeds from this exquisite offering, shall evaluate to $44 million, post-deduction of individual purchasers’ commissions or discounts. A company-source corroborated that the proceeds shall be utilized for offering preclinical and clinical development activities for SuberoHydroxamic Acid Phenyl Ester, dubbed SHAPE, or Birinapant. This offer shall end on June 23.
Products In Pipeline
Birinapant is currently undergoing its Phase 1 test and Phase 2 trial for solid tumors and hematological malignancies, whereas SHAPE, which deals in treatment of cutaneous T-cell lymphoma, has entered into Phase 2 trials. Tetralogic Pharmaceuticals Corp (NASDAQ:TLOG) hopes to generate greater working capital by acquire sumptuous proceeds from this offering, for bolstered in-licensing opportunities and general corporate purpose.