IGI Laboratories, Inc. (NYSE Amex: IG) today announced that it has raised $1,550,000 through the private placement of Series C Convertible Preferred Stock.
The investors included investment funds affiliated with Signet Healthcare Partners, G.P., the Company's majority stockholder, and Jane E. Hager, a director and stockholder of the Company. Each share of Series C Preferred Stock is convertible into shares of common stock equal to (i) 1,000 plus any accrued and unpaid dividends, divided by (ii) $0.69 (the closing price of the Company's common stock on the date of issuance). The Series C Preferred Stock will accrue dividends at an annual rate of 5%.
The shares of Series C Convertible Preferred Stock offered by IGI in this transaction have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The Company has agreed with the investors to register the shares of common stock underlying the Series C Convertible Preferred Stock.