Friday, February 27, 2009

Alseres forms $200K financing deal

By Mass High Tech staff

Hopkinton biopharmaceuticals firm Alseres Pharmaceuticals Inc. has announced the offering and sale of about $200,000 worth of company stock in a securities purchase agreement with Cato Holding Company (dba Cato BioVentures). The agreement, which was announced today but implemented on Tuesday, involves the private placement of 200,000 shares of Alseres common stock, offered at a purchase price of $1 per share.

Alseres (Nasdaq: ALSE) officials said the agreement proceeds would help repay debt owed to Cato Research Ltd.

Alseres received a delisting warning from the Nasdaq Stock Market last month for failing to maintain at least $35 million in securities for 10 consecutive trading days.

The company took steps in 2008 to consolidate operations and secure its financial position. In November, it announced its plan to raise $1 million through a private placement to an individual investor, Robert Gipson, a former board member. In June, Gipson, a general partner at Ingalls & Snyder Value Partners, executed another private placement that brought $5 million into Alseres’ coffers.

Alseres joined its Woburn and Hopkinton offices into one new facility in Hopkinton in August. The company is developing therapeutic and diagnostic products primarily for disorders in the central nervous system and showed in its September quarterly report a loss of $5.1 million on zero revenue.