HOPKINTON, Mass., Nov. 18, 2016 (GLOBE NEWSWIRE) -- Spring Bank Pharmaceuticals, Inc. (Nasdaq:SBPH), a clinical-stage biopharmaceutical company developing novel therapeutics for the treatment of viral infections, cancer, and inflammatory diseases today announced that it has entered into a securities purchase agreement for the sale of approximately $15 million of Spring Bank common stock and warrants in a private placement financing with a select group of accredited investors.
The private placement was led by MPM Capital, Oncology Impact Fund with participation by additional new and existing investors.
The financing consists of the sale and issuance of 1,644,737 shares of common stock and warrants to purchase 1,644,737 shares of common stock. The securities are being sold for a price of $9.12 per share and associated warrant. The warrants will have an exercise price of $10.79 per share and will expire five years from the date of issuance. The financing is expected to close on or about November 23, 2016, subject to the satisfaction of certain customary closing conditions. William Blair & Company, L.L.C. will act as sole placement agent in connection with the financing.
Spring Bank expects to receive aggregate gross proceeds of approximately $15 million, before deducting placement agent fees and estimated offering expenses. Net proceeds from the financing are expected to be used to fund the further advancement of Spring Bank’s pipeline of small molecule nucleic acid hybrid molecules.
About Spring Bank Pharmaceuticals
Spring Bank Pharmaceuticals is a clinical-stage biopharmaceutical company engaged in the discovery and development of a novel class of therapeutics using its proprietary small molecule nucleic acid hybrid, or SMNH, chemistry platform. SMNH compounds are small segments of nucleic acids that the company designs to selectively target and modulate the activity of specific proteins implicated in various disease states. The company is developing its most advanced SMNH product candidate, SB 9200, for the treatment of viral diseases, including hepatitis B virus. The company is also developing SB 11285, a novel, proprietary STING (STimulator of INterferon Genes) agonist compound. SB 11285 is in preclinical development for the treatment of various cancers.
