Nanogen, Inc. announced today that it has sold 900,000 shares of its common stock to institutional investors at a price of $8.60 per share, for gross proceeds of approximately $7.7 million. After deducting fees and expenses, Nanogen will receive approximately $7.4 million from the sale, which was conducted pursuant to Nanogen's shelf registration statement filed in January 2004 and increased by 150,000 shares on April 6, 2004.
The sale is expected to close today.
Nanogen plans to use the net proceeds for working capital and other general corporate purposes, including funding of acquired businesses and technologies. Seven Hills Partners LLC acted as exclusive placement agent to Nanogen for this financing.
"This sale completes the placement of shares registered under our shelf registration statement and provides further support for our long-term strategy to commercialize advanced medical diagnostics and to facilitate Nanogen's entry into complementary, high-growth markets," said Howard C. Birndorf, chairman and CEO of Nanogen.