IRVINGTON, N.Y., Oct. 30, 2013 (GLOBE NEWSWIRE) -- MELA Sciences, Inc. (Nasdaq:MELA) the medical device company that has developed and is commercializing MelaFind®, the first and only FDA approved optical diagnostic device for melanoma detection used by dermatologists in their fight against melanoma, today announced it has received a commitment from an institutional investor to purchase $6.0 million of the Company's equity in a registered direct placement.
The Company has entered into a securities purchase agreement with the investor pursuant to which it has agreed to sell an aggregate of 8,571,428 shares of common stock, consisting of 4,228,181 shares of its common stock and fully paid prefunded warrants to purchase up to an additional 4,343,247 shares of its common stock resulting in gross proceeds at the closing of $6.0 million. Additionally, for each share of common stock issued and issuable upon exercise of the fully paid prefunded warrants, the investor will receive a warrant to purchase 0.80 of a share of common stock for an aggregate of 6,857,142 shares which, if exercised, could result in additional proceeds to the Company of approximately $5.8 million. This warrant to purchase additional shares will be exercisable at a price of $0.85 per share beginning 6 months following issuance and will expire five years from the date on which the warrants are initially exercisable. The closing of the offering is expected to take place on or about November 4, 2013, subject to the satisfaction of customary closing conditions.
Craig-Hallum Capital Group is acting as exclusive placement agent in connection to this offering.
Net proceeds to the Company at the closing are expected to be approximately $5.5 million. MELA Sciences, Inc. intends to use the net proceeds from this offering to continue the commercial launch of MelaFind® in the U.S. and the European Union, for continued research & development activities and for general corporate purposes, including working capital.
"We are pleased that our new investor saw the value in our revised strategy to unlock the potential of our technology leading to a sustainable business," said Robert Coradini, interim CEO of MELA Sciences. "This is our first step in working to build MelaFind as a standard of care in the fight against melanoma."
The securities described above are being offered pursuant to an effective shelf registration statement previously filed by MELA Sciences, Inc. with the Securities and Exchange Commission (the "SEC"). The offering was made by means of a prospectus. The prospectus and a prospectus supplement related to the offering were filed with the SEC and are available on the SEC's website located at http://www.sec.gov and may also be obtained from Craig-Hallum Capital Group, 222 South Ninth Street, Suite 350, Minneapolis, MN 55402, telephone 612-334-6342, email: firstname.lastname@example.org.