Viragen reveals financing strategy

Florida, USA-based biotechnology firm Viragen says that it has received approximately $4.1 million in gross proceeds from a private placement unit offering to institutional and accredited investors. The offering is expected to be completed this week with gross proceeds totaling $5.0 million. Dawson James Securities, a health care and biotechnology investment banking firm, acted as the placement agent for this transaction and has also entered into a letter of intent to underwrite a follow-on firm commitment secondary offering to raise an additional $20.0 million.

Viragen intends to use the proceeds raised from this offering to continue funding its drug R&D plans, regulatory strategies and proceed with the international marketing of Multiferon (multi-subtype, natural human alpha interferon targeting a broad range of infectious and malignant diseases) in its approved territories, including its recent approval in Sweden for the first-line adjuvant treatment of malignant melanoma.