XTL Biopharm raises $28M in placing

New York, USA-based XTL Biopharmaceuticals, a biotechnology company focused on the acquisition, development and commercialization of therapeutics for the treatment of infectious diseases, with a focus on hepatitis C, says that it has entered into definitive agreements with institutional investors relating to a private placement of $28.0 million in gross proceeds through the issue of ordinary shares, represented by American Depositary Receipts, and warrants. JP Morgan Securities acted as the lead placement agent, while Brean Murray, Carret & Co, Oppenheimer & Co, and Punk, Ziegel & Co served as co-placement agents in the transaction.

Ron Bentsur, chief executive of XTL, commented: "following this offering, we will have sufficient cash to take us into 2008. The funds raised will not only provide us with capital to support our current and planned clinical programs for our hepatitis C drug candidates, but will also provide us with added flexibility in our in-licensing and product acquisition program, as we aim to build out our pipeline with additional clinical-stage drug candidates."

In the transaction, XTL sold a total of approximately 4.67 million ADRs, which represents around 46.7 million ordinary shares, at a purchase price of $6.00 per ADR.