Ruthigen raises $19.2 million in IPO
Ruthigen Inc. (NASDAQ:RTGN) raised $19.2 million through the sale of 2.7 million units at $7.25 in an IPO underwritten by Dawson James Securities. Each unit comprises a Ruthigen share and a two-year series A warrant. Each series A warrant is exercisable at $7.25 for a share and a five-year series B warrant, which is exercisable for a share at $9.06. Last month, Ruthigen said it planned to sell 2.2 million units at $7.25-$9.25.
Ruthigen's lead product is RUT58-60, a broad-spectrum anti-infective agent. In July, the company plans to start a Phase I/II trial to evaluate RUT58-60 to prevent and treat infection in invasive surgeries. Ruthigen was the biotech business of and a wholly owned subsidiary of Oculus Innovative Sciences Inc. (NASDAQ:OCLS) prior to the offering. Oculus holds 2 million Ruthigen shares, or a 43% stake based on the 4.7 million shares outstanding immediately after the IPO. ...