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Verenium (VRNM) Enters $22.5M Secured Financing Agreement

December 10, 2012 8:12 AM EST Send to a Friend
Verenium Corporation (Nasdaq: VRNM) announced the signing of a $22.5 million secured debt financing with the Athyrium Opportunities Fund.

Net proceeds after estimated expenses will be approximately $21.3 million, providing Verenium with capital to continue to advance its Product Pipeline to commercialization, enhance its manufacturing capabilities, and fund general working capital purposes. The debt bears interest at 11.5% per annum, with interest payments due quarterly over a five-year term and the principal balance due as a lump-sum payment at maturity in December 2017.

In connection with the financing, Verenium issued warrants to Athyrium to purchase approximately 2.9 million shares of common stock at an exercise price of $2.49 per share, representing a 17.5% premium over the closing price on the date of the debt agreement. The warrants have a seven-year term and are immediately exercisable.




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