Nastech Pharmaceutical shares plummeted Friday after the company announced it was raising $7.9 million through an equity offering to unidentified...
Nastech Pharmaceutical shares plummeted Friday after the company announced it was raising $7.9 million through an equity offering to unidentified new and existing investors.
The Bothell company’s stock fell 78 cents, or 36 percent, to close at $1.40.
Nastech agreed to sell 4.6 million shares to investors at $1.73 per share. Investors will also receive seven-year warrants to purchase an additional 4.6 million shares of stock, beginning Oct. 25. The buyers can also buy up to $3 million in additional shares for a 90-day period starting that same day.
The company, which has recently sought to cut costs after the collapse of a lucrative research partnership with Procter & Gamble, said it expected the transaction to close Friday.
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Nasdaq issues delisting warning
Nasdaq warned Targeted Genetics that its stock could be delisted if it doesn’t rise above $1 for at least 10 consecutive days within six months, the company said Friday.
The Seattle company could get an additional 6 months to comply if it meets certain conditions, a statement said.
The biotech firm’s stock closed Friday at 76 cents, up 2 cents or 2.7 percent.
Idled facility in Canada to close
Weyerhaeuser said Friday it will permanently close a Canadian plant that has been idle for more than a year.
The oriented strand board (OSB) plant in Miramichi, New Brunswick, has not operated since January 2007.
“We worked hard to sell the facility for more than one year,” said Craig Neeser, president of Weyerhaeuser’s Canadian operations.
Weyerhaeuser said it will continue to entertain serious offers for the facility until June 6.
Company drops cargo-service bid
Seattle-based Saltchuk Resources pulled out of the auction for Aloha Airlines’ cargo service Wednesday after its $13 million offer was topped by another company that offered $13.65 million.
Aloha shut down its passenger service March 31 shortly after filing for bankruptcy. Its cargo operations handle 85 percent of the state’s air cargo, including all the mail to and from Maui and the Big Island.
According to Saltchuk, Aloha’s primary lender had set a minimum bid of $20 million for the cargo unit. That auction has been extended through next week.
Compiled from Seattle Times business staff and The Associated Press