Irish Amarin announces 70 million-dollar placement
Dublin – Amarin Corporation plc today announced it has entered into an agreement with a number of investors for a $70 million private placement. The placement of units for $70 million consists of $66.4 million in cash proceeds and $3.6 million from the conversion of convertible bridge notes. In consideration for the $66.4 million cash payment, Amarin will issue 66.4 million units. Each unit has a purchase price of $1.00 and consists of one American Depositary Share and a warrant for the purchase of 0.50 of an ADS. The warrants will have a five year term and an exercise price of $1.50 per ADS. In consideration for the conversion of the principal amount of $3.6 million of convertible bridge notes, Amarin will issue 4 million units. In accordance with the terms of the conversion of the bridge notes, each unit has a purchase price of $0.90 and consists of one ADS and a warrant for the purchase of 0.50 of an ADS. The warrants will also have a five-year term and an exercise price of $1.50 per ADS.
The company has said it will use the money to progress phase III testing through to an NDA filing of its prescription-grade omega-3 fatty acid drug AMR101 (a ethyl ester of eicosapentaenoic acid) in patients with hyperglyceridemia and mixed dyslipidemia. The funding will also be used for the retirement of $1.9 million in bridge financing and for general corporate purposes.