Threshold completes $17M financing round

The USA's Threshold Pharmaceuticals has completed a $17.0-million private equity financing round. The firm sold 8,970,574 shares of its common stock at $2.04 per share, and warrants to purchase up to 3,588,221 shares of its common stock for gross proceeds of $18.3 million. The warrants have an exercise price of $2.34 each, subject to adjustment.

The company intends to use the proceeds of this financing to complete its ongoing clinical trials evaluating TH-302, its hypoxia-activated prodrug for the treatment of various solid tumors and, pending results from those studies, to initiate at least one controlled Phase II trial of the drug alone or in combination with chemotherapy, on preclinical activities related to another HAP clinical candidate, and for general corporate purposes, including working capital.

"We are extremely pleased that several high-quality, new investors joined our existing major shareholders, including both investors and members of the company's management team, in this financing," said Barry Selick, chief executive of the firm.