MethylGene to issue 3.68 million shares to OtsukaMethylGene to issue 3.68 million shares to Otsuka
2009-10-14 17:49 ET - News Release
Mr. Donald Corcoran reports
METHYLGENE ANNOUNCES EQUITY INVESTMENT FROM OTSUKA PHARMACEUTICAL CO., LTD.
MethylGene Inc. has agreed to issue 3,686,182 common shares to Otsuka Pharmaceutical Co. Ltd. as per the terms of the research collaboration and licence agreement dated March 25, 2008, between MethylGene and Otsuka, for the development of small-molecule kinase inhibitors for ocular diseases, excluding cancer.
Otsuka will acquire newly issued common shares of MethylGene at a purchase price of approximately 43 cents per share on or about Oct. 19, 2009, for gross proceeds of $1,573,410 ($1.5-million (U.S.)) to MethylGene.
In September, 2009, MethylGene announced in Stockwatch that Otsuka had extended the research portion of the collaboration for a six-month period ending March, 2010, that will provide $625,000 (U.S.) in research financing. Otsuka maintains its right to further extend the collaboration beyond this incremental six-month period.
We seek Safe Harbor.