LANGHORNE, Pa., Apr 15, 2014 (GLOBE NEWSWIRE via COMTEX) --
In a release issued earlier today under the same headline by Alliqua, Inc. ALQA -2.65% , please note that details of the common stock price of $7.00 per share have been added to paragraph two. The updated release follows.
Alliqua, Inc. ALQA -2.65% ("Alliqua" or the "Company"), a provider of advanced wound care products, has raised $20.3 million in a series of transactions that included a $15.0 million private placement of common stock and warrants and $5.3 million from the exercise of warrants from several institutional shareholders.
In connection with the private placement, Alliqua issued 2,139,287 shares of common stock at a price of $7.00 per share and warrants to purchase 427,857 shares of the Company's common stock at an exercise price of $10.50 per share.
In a separate transaction, Alliqua received approximately $5.3 million from the exercise of warrants to purchase 930,313 shares of common stock at an exercise price of $5.69 per share. These warrants were issued in November 2013 and had a five-year term.
Alliqua intends to use the proceeds from the transactions for working capital purposes, as well as expansion of its suite of technological solutions through acquisitions.
The securities issued in the private placement and warrant exercise were offered only to certain accredited investors in reliance upon an exemption from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act"). The securities have not been registered under the Securities Act or any state or other securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements of the Securities Act and applicable state securities laws. The Securities and Exchange Commission has not passed upon the merits of or given its approval to the securities, the terms of the private placement and warrant exercise or the accuracy or completeness of any private placement materials.
About Alliqua, Inc.
Alliqua is a provider of advanced wound care solutions. Through its extensive sales and distribution network, together with its proprietary products, Alliqua provides a suite of technological solutions to enhance the wound care practitioner's ability to deal with the challenges of healing both chronic and acute wounds.
In addition, Alliqua can provide a custom manufacturing solution to partners in the medical device and cosmetics industry, utilizing its proprietary hydrogel technology.
Alliqua currently markets its line of hydrogel products for wound care under the SilverSeal® and Hydress® brands, as well as the sorbion sachet S® and sorbion sana® wound care products. It also has the right to develop and market the advanced wound care products Biovance® and Extracellular Matrix (ECM), as part of its agreement with Celgene Cellular Therapeutics. Alliqua's electron beam production process, located at its 16,000 square foot GMP manufacturing facility in Langhorne, PA, allows Alliqua to develop and custom manufacture a wide variety of hydrogels. Alliqua's hydrogels can be customized for various transdermal applications to address market opportunities in the treatment of wounds as well as the delivery of numerous drugs or other agents for pharmaceutical and cosmetic industries.
Any statements contained in this press release regarding our ongoing research and development and the results attained by us to-date have not been evaluated by the Food and Drug Administration.
Legal Notice Regarding Forward-Looking Statements
This release contains forward-looking statements. Forward-looking statements are generally identifiable by the use of words like "may," "will," "should," "could," "expect," "anticipate," "estimate," "believe," "intend," or "project" or the negative of these words or other variations on these words or comparable terminology. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties outside of our control that can make such statements untrue, including, but not limited to, inadequate capital, adverse economic conditions, intense competition, lack of meaningful research results, entry of new competitors and products, adverse federal, state and local government regulation, termination of contracts or agreements, technological obsolescence of our products, technical problems with our research and products, price increases for supplies and components, inability to carry out research, development and commercialization plans, loss or retirement of key executives and research scientists and other specific risks. We currently have no commercial products intended to diagnose, treat, prevent or cure any disease. The statements contained in this press release regarding our ongoing research and development and the results attained by us to-date have not been evaluated by the Food and Drug Administration. There can be no assurance that further research and development, and/or whether clinical trial results, if any, will validate and support the results of our preliminary research and studies. Further, there can be no assurance that the necessary regulatory approvals will be obtained or that we will be able to develop new products on the basis of our technologies. In addition, other factors that could cause actual results to differ materially are discussed in our Annual Report on Form 10-K filed with the SEC on March 24, 2014, and our most recent Form 10-Q filings with the SEC. Investors and security holders are urged to read these documents free of charge on the SEC's web site at http://www.sec.gov . We undertake no obligation to publicly update or revise our forward-looking statements as a result of new information, future events or otherwise.
CONTACT: Alliqua, Inc.
Brian M. Posner, +1-215-702-8550
Chief Financial Officer
Dian Griesel Int'l.
Cheryl Schneider, +1-212-825-3210
Dian Griesel Int'l.
Susan Forman or Laura Radocaj, +1-212-825-3210