Cardium Therapeutics (NYSE Amex: CXM) has announced a registered direct offering of common stock to selected investors for aggregate gross proceeds of $6.0 million.
The securities in the offering include an estimated 4.6 million shares of Cardium common stock at a price of $1.30 and warrants to purchase up to 3 million shares of Cardium common stock at an exercise price of $1.40.
The warrants are exercisable six months after the date of issuance, and will expire six years from the date they are first exercisable.
Dawson James Securities acted as exclusive placement agent for the offering.
Investors are still selling shares despite the company's positive study results announced Wednesday that showed its topical gel for diabetic foot ulcers induced healing in almost half of patients within 12 weeks.
Cardium shares fell 22 cents, or more than 16 percent, to $1.18 in early afternoon trading on higher-than-usual volume.