Two Institutions Buy NeoTherapeutics Stock

NeoTherapeutics Inc. completed a $10-million private placement of 845,594 common shares at $11.83 a share with two institutional investors. The company will use the funds to expand its clinical trial program for Neotrofin, a potential treatment for Alzheimer’s disease. In a press release Friday, the bio-pharmaceutical company said the investors also received five-year warrants to acquire 126,839 common shares at the exercise price of $14.24. The company also offered adjustment warrants to purchase, for a nominal exercise price, other common shares at two dates four and six months from the closing of the placement. NeoTherapeutics doesn’t know the number of the shares that will be offered on those dates.