Date: 2016-03-07
Type of information: Private placement
Company: Argos Therapeutics (USA - NC)
Investors:
Amount: up to $60 million
Funding type: private placement
Planned used: Argos expects that this financing will fund operations into the second quarter of 2017, when the Company expects to have final data from its pivotal phase 3 ADAPT trial of AGS-003.
Others: * On June 29, 2016, Argos Therapeutics announced that it had completed the closing of the second tranche of its private placement financing under the Company's previously announced March 2016 securities purchase agreement. In the closing of the second tranche, Argos sold, for a total purchase price of $29,824,520, a total of 5,478,672 shares of common stock and warrants to purchase a total of 4,109,005 shares of common stock (0.75 shares of common stock for each share of common stock purchased), based on a purchase price per share of common stock and accompanying warrant equal to $5.44375. The closing of the second tranche was triggered by the previously announced recommendation from the Company's independent data monitoring committee that the Company continue its pivotal ADAPT Phase 3 clinical trial of AGS-003 for the treatment of metastatic renal cell carcinoma based on results of the IDMC's scheduled interim data review. * On March 7, 2016, Argos Therapeutics announced that it has entered into a securities purchase agreement for the sale of up to $60 million of Argos common stock and warrants in a private placement financing. The financing will take place in up to three tranches. Under the securities purchase agreement, at the initial closing, which is expected to occur on or about March 9, 2016, Argos will sell and the investors will purchase, for a total purchase price of $19,882,915, a total of 3,652,430 shares of common stock and warrants to purchase a total of 2,739,323 shares of common stock (0.75 shares of common stock for each share of common stock purchased), based on a purchase price per share of common stock and accompanying warrant equal to $5.44375. At the second closing, Argos has agreed to sell and the investors have agreed to purchase, for an additional purchase price of $29,824,520, a total of 5,478,672 shares of common stock and warrants to purchase a total of 4,109,005 shares of common stock at the same price and on the same terms as the first tranche. The second closing is conditioned on the Independent Data Monitoring Committee for the ADAPT Study at or following the IDMC's next regular meeting following the initial closing (currently scheduled for June 2016) recommending that Argos continue the ADAPT Study or discontinue the ADAPT Study based on favorable efficacy data. The warrants to be issued in each closing will have an exercise price of $5.35 per share and expire five years from the date of issuance. Participants in the financing include Pharmstandard International S.A., Forargos B.V., Tianyi Lummy International Holdings Group Ltd., China BioPharma Capital I, L.P., TVM V Life Science Ventures GmbH & Co. KG and Wasatch Funds Trust. Under the securities purchase agreement, Pharmstandard has also agreed that, at Argos's option following the satisfaction of certain conditions, including the IDMC having made a recommendation at or following its next regular meeting after the First IDMC Meeting (currently anticipated to be held in November or December 2016), that the Company continue the ADAPT Study or discontinue the ADAPT Study based on favorable efficacy data, and the Company's cash position at such time, it shall purchase at the third closing up to $10,292,563 of shares of common stock (without warrants) at a price per share to be determined pursuant to an agreed upon formulation. The dollar amount committed to be purchased by Pharmstandard at the third closing is subject to reduction on a dollar-for-dollar basis for certain cash amounts raised by Argos after the initial closing through equity or debt financings or collaborations. All three closings will be subject to the satisfaction of certain customary closing conditions.
Therapeutic area:
