Boston, MA 05/20/2013 (wallstreetpr) – Friday’s trading session saw Prima Biomed Ltd (NASDAQ:PBMD) climbing down by 15.47%. It opened at a price of $2.62 which was also the intraday high, before heading down to close at $1.70 per share. In excess of 0.195 million shares exchanged hands in the previous trading session. This figure stood below the average volume of 0.467 million that was measured over a 30-day period.
PBMD has announced that in pursuant to shareholder approval that was received at general meeting held last weekend that its has issued 13,287,500 fully-paid ordinary shares to its directors as well as 1,250,000 shares to some of its institutional investors. These have been issued on the same terms and price as the Share purchase plan that was recently completed. The issue price of the new shares under the SPP was calculated as the volume weighted average-price of existing shares. These were traded on ASX over the 10 trading days before their issue date minus a discount of 5% and amounted to $0.08 per Share.
The proceeds from this SPP and the added placements that were passed at the general meeting amounted to $6,166,676. Prima Biomed Ltd (NASDAQ:PBMD) may seek to place additional shares on these same terms as that of the SPP, to professional investors within the next quarter.
These proceeds will enable PBMD to co-fund up to three phase II trials of CVac(TM). These will be for additional cancer indications and will be conducted in conjunction with the grant of EUR 3.8 million that was recently awarded by the Germany-based Saxony Development Bank.
