Financings In Brief
This article was originally published in The Gray Sheet
Executive Summary
Ortec: Trading of the firm's stock commences on the OTC bulletin board following a Nasdaq Small Cap Market delisting notice, announced Aug. 30. The firm's appeal of the delisting was unsuccessful (1"The Gray Sheet" July 15, 2002, p. 9). Separately, proceeds from an $8.5 mil. Series B convertible preferred stock offering will support the firm's OrCel pivotal venous ulcer trial (2"The Gray Sheet" Aug. 19, 2002, p. 20). The financing is conditioned upon receipt of a $2 mil. escrow payment from one of Ortec's institutional investors. In addition, the firm reports being in discussions with potential partners, with a financial commitment from one expected by year-end. "We also received a letter of intent for a $12 mil...follow-on underwriting that can be an additional source of capital when our stock price attains a level which makes that an attractive option," Ortec CFO Ron Lipstein notes...