The Minneapolis, Minn.-based company said it inked a $7 million private placement deal with investment management firm Allan Gray for approximately 64.5 million Chess Depository Interests, representing approximately 32.3 million shares of common stock at a price of 11¢ per share.
Funds from the placement will support expanding the company’s US sales team, supporting post-approval market trials, R&D and an accelerated pilot sales program in Western Europe.
Osprey Medical said it is also offering existing CDI holders in Australia, New Zealand, Hong Kong and Singapore an entitlement offer for one new CDI for every five they already hold at a price of 11¢ per share. The offering could bring in a maximum of approximately $7.6 million (AUD $10.5 million), according to a press release.
In August, Osprey said that 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.