Mesoblast Limited (ASX:MSB) US Asssociate Company Angioblast Closes A$10 Million Equity-Based Financing
The capital was raised by way of non-redeemable convertible securities that will convert into common shares at the time of Angioblast's next financing event, defined as an Initial Public Offering, Merger and Acquisition, or private equity round of at least A$10 million. Mesoblast will retain its 38.4% equity in Angioblast until at least the next financing event, at which time it may seek to maintain or increase its shareholding.
In view of Angioblast's successful capital raising, Mesoblast's Board of Directors has decided that Mesoblast does not need to participate in the current financing round. Mesoblast will allocate an increased portion of its A$16.5 million existing funds towards a major new orthopedic clinical application during the course of the current financial year.
About Mesoblast Limited
Mesoblast Limited (ASX:MSB) (OTC ADR: MBLTY) is the world's leading developer of innovative biological products for the broad field of regenerative medicine.
Mesoblast's commercial strategy is based on its unique proprietary adult mesenchymal precursor cells.
The company's lead products will target cardiovascular conditions, diabetes, inflammatory conditions of lungs and joints, eye diseases, bone marrow cancers, bone fractures, cartilage degeneration and musculoskeletal conditions.
Mesoblast and global biopharmaceutical company Cephalon Inc. have established a strategic alliance to commercialize adult stem cell products for degenerative conditions of the cardiovascular and central nervous systems. The alliance also extends to products for augmenting bone marrow transplantation in cancer patients.