Osprey Medical (ASX:OSP) said today it raised $17.6 million (AUD $22.2 million) from an oversubscribed offering of Chess Depository Interests, and that it is looking to raise an additional $8.2 million (AUD $10.3 million) in an entitlement offer.
The Australian company said it floated approximately 55.5 million CDIs, representing 27.7 million shares of common stock, at 32¢ (AUD 40¢) per CDI, and is looking to offer an additional 25.8 million CDIs, representing 12.9 million shares, for the additional entitlement offer.
The company said that the placement was joined by Brandon Capital Partners, its largest CDI holder, and that it expects the placement to be settled on August 10.
In the entitlement offer, current holders of Osprey Medical’s CDIs will be eligible to subscribe to 1 new CDI for every 10 CDIs they have, the company said.
“We are delighted with the oversubscribed placement, and the introduction of several new shareholders. It reflects a strong endorsement from the investment community for our commercialisation strategy and it places Osprey in a strengthened financial position to fulfil its mission to make heart imaging and treatment procedures safer for patients with poor kidney function,” CEO & prez Mike McCormick said in a press release.
Funds raised in the round will be used to expand the company’s US sales force, initiate a pilot European sales program in Germany and to support post-approval market trials and continuing R&D, Osprey medical said.
Last August, Osprey Medical said it raised $21.3 million (AUD $28 million) through the sale of CHESS depository interests to support the expanded commercialization of its DyVert System and ongoing research and development.