International biopharmaceutical company Bone Medical Ltd has raised almost $1.25 million in a private placement to investors including Bone non-executive director Leif Helth Jensen and major shareholder Proxima Concepts Ltd.
The Bentley-based biopharmaceutical development company will issue a a total of 4,150,603 million shares to be subscribed at 30 cents each.
Each share qualifies for one free attaching 40 cent option exercisable over 18 months from the date of issue.
Bone said the transaction was an important milestone for the company with the first European sophisticated biotech investors being introduced on Bone's share registry.
The funds raised will be used for working capital and to support Bone's portfolio of biopharmaceutical development projects for the treatment of bone disease, particularly osteoporosis and arthritis.
"Mr Leif Helth Jensen is one of the most astute biotech investors in Europe. He has been involved as seed investor or director in six of the eight Danish publicly listed biotech companies, of which the largest is Genmab A/S with
a multi-billion dollar market capitalisation. Today Mr Leif Helth Jensen is active on nine boards and is serving as chairman on four of these. He knows the Bone technology and is backing it," said Troels Jordansen,
managing director of Bone Medical.
Proxima Concepts Ltd continues to support Bone Medical in research, development, regulatory affairs and financially.
The placement to Mr Jensen and to Proxima Concepts Ltd, which is to be by way of the conversion of outstanding obligations of $428,176, will be subject to shareholder approval at an extraordinary general meeting which thecompany is to schedule for early February 2008.
