Selecta Biosciences, Inc. (NASDAQ:SELB), a clinical-stage biopharmaceutical company focused on unlocking the full potential of biologic therapies by avoiding unwanted immune responses, today announced that it has entered into definitive agreements to sell securities in a private placement that is expected to result in gross proceeds to the company of $50 million, before deducting placement agent and other offering expenses.
The company plans to use the proceeds from the financing primarily for ongoing clinical development of Selecta’s lead product candidate, SEL-212, for the treatment of chronic severe gout and to enable the company to bring additional product candidates into the clinic. Selecta expects the addition of these proceeds to its existing balance sheet will enable the company to fund its operating expenses and capital expenditure requirements into 2019. Stifel served as sole placement agent for the offering.
Certain new and existing institutional investors have agreed to purchase an aggregate of 2,750,000 shares of common stock at a price of $16.00 per share. Additionally, a member of the company’s Board of Directors has agreed to purchase, for an aggregate purchase price of approximately $6 million, 338,791 shares of common stock and warrants to purchase 79,130 shares of common stock at an exercise price of $17.71. The closing of the offering is subject to certain conditions and is expected to occur on June 27, 2017.