Delcath Enters Agreement to Sell 869,565 Units
10 June 2009 - 10:00PM
PR Newswire (US)
NEW YORK, June 10 /PRNewswire-FirstCall/ -- Delcath Systems, Inc.
(NASDAQ: DCTH), a medical technology company testing its
proprietary Percutaneous Hepatic Perfusion (PHP(TM)) System for the
treatment of cancers of the liver, today announced that it has
entered into a definitive agreement to sell 869,565 units, each
unit consisting of one of the Company's common shares and a warrant
to purchase 1.2 common shares, for gross proceeds of approximately
$3 million, before deducting placement agent fees and estimated
offering expenses, in a "registered direct" offering with a single
institutional investor. The investor has agreed to purchase the
units at a purchase price of $3.45 per unit. The warrants, which
represent the right to acquire an aggregate of up to 1,043,478
common shares, will be exercisable at any time on or after the
closing of the transaction and prior to the fifth anniversary of
the closing of the transaction at an exercise price of $3.99 per
share, which was 110% of the closing bid price of the Company's
common shares on the Nasdaq Capital Market on June 9, 2009. The
transaction is expected to close on or about June 15, 2009, subject
to the satisfaction of customary closing conditions. (Logo:
http://www.newscom.com/cgi-bin/prnh/20081118/NY46990LOGO ) Piper
Jaffray & Co. acted as sole placement agent for the offering.
The Company is offering the securities in this transaction pursuant
to an effective shelf registration statement and a registration
statement filed pursuant to Rule 462(b) promulgated under the
Securities Act of 1933, as amended. The offering is being made only
by means of a prospectus supplement. Copies of the final prospectus
supplement and accompanying base prospectus relating to this
offering may be obtained at the SEC's website at
http://www.sec.gov/ or from Piper Jaffray & Co. at 800 Nicollet
Mall, Suite 800, Minneapolis, MN 55402. This press release shall
not constitute an offer to sell or the solicitation of an offer to
buy, nor shall there be any sales of these securities in any
jurisdiction in which such an offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such jurisdiction. About Delcath Systems,
Inc. Delcath Systems, Inc. is a medical technology company
specializing in cancer treatment. The Company is testing a
proprietary, patented drug delivery system for the treatment of
liver cancers. Delcath's novel drug delivery platform is testing
the delivery of ultra-high doses of anti-cancer drugs to the liver
while preventing these high doses of drug from entering the
patient's bloodstream. The Company is currently enrolling patients
in Phase III and Phase II clinical studies for the treatment of
liver cancers using high doses of melphalan. The Company's
intellectual property portfolio consists of twenty-seven patents on
a worldwide basis including the U.S., Europe, Asia and Canada. For
more information, please visit the Company's website at
http://www.delcath.com/. The Private Securities Litigation Reform
Act of 1995 provides a safe harbor for forward-looking statements
made by the Company or on its behalf. This news release contains
forward-looking statements, which are subject to certain risks and
uncertainties that can cause actual results to differ materially
from those described. Factors that may cause such differences
include, but are not limited to, uncertainties relating to our
ability to successfully complete Phase III clinical trials and
secure regulatory approval of our current or future drug-delivery
system and uncertainties regarding our ability to obtain financial
and other resources for any research, development and
commercialization activities. These factors, and others, are
discussed from time to time in our filings with the Securities and
Exchange Commission. You should not place undue reliance on these
forward-looking statements, which speak only as of the date they
are made. We undertake no obligation to publicly update or revise
these forward-looking statements to reflect events or circumstances
after the date they are made.
http://www.newscom.com/cgi-bin/prnh/20081118/NY46990LOGODATASOURCE:
Delcath Systems, Inc. CONTACT: Richard Taney of Delcath Systems,
Inc., +1-212-489-2100, or ; Robin Wagge of Rubenstein Associates,
Inc., +1-212-843-8006, or , for Delcath Systems, Inc. Web Site:
http://www.delcath.com/
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