InVivo Therapeutics Holdings Corp. is a medical device company focused on technology to develop treatments to improve function in individuals paralyzed as a result of traumatic spinal cord injury. The company today announced the completion of a private placement of 13 million units of its securities, generating proceeds of $13 million.
Each unit sold consists of one share of common stock of InVivo and one warrant, with each warrant entitling the holder to purchase one share of common stock for a five-year period at an exercise price of $1.40 per share. If warrants issued in the private placement are exercised or called, the company would realize an additional total gross proceed amount of $18.2 million.
The company said the successful private placement reflects positive investor sentiment and support.
“We are very pleased with how our financing was received by investors and see it as vote of confidence in the promise of our groundbreaking technologies,” Frank Reynolds, CEO of InVivo stated in the press release. “InVivo now has a strong balance sheet with which to execute our strategic plan, which includes moving into human clinical testing with our lead product candidate in the first half of next year.”
Adam K. Stern, senior managing director of Spencer Trask Ventures and a newly appointed member of the InVivo board of directors, noted company’s role in the healthcare market and the impact of today’s announced financing.
“InVivo represents a beacon of hope within the SCI community. The company’s groundbreaking technologies, which incorporate multiple strategies involving biomaterials, FDA approved drugs, growth factors, and human neural stem cells, offer the first potential treatment for SCI that addresses the underlying pathology of these injuries, rather than just the symptoms. The successful close of this financing is a critical component of realizing this potential,” Stern stated.
For more information visit www.invivotherapeutics.com