New Generation Biofuels closes latest offering
17th December 2009
Renewable fuels provider NASDAQ-listed New Generation Biofuels Holdings (NGBF) has closed its previously announced registered offering of 1,926,250 shares of its common for $0.001 per share and warrants to purchase 577,875 shares of common stock.
The shares and the warrants were sold in units at a price of $0.80 per unit, with each unit consisting of one share of common stock and a five-year warrant to purchase 0.30 shares of common stock at an exercise price of $0.90 per share which is not exercisable for six months. The units will not be issued or certificated and neither the units nor the warrants will trade on any exchange or be listed for quotation on any market.
The gross proceeds of the offering were approximately $1.54m and net proceeds, after deducting the placement agent’s fee and estimated offering expenses payable by NGBF, were approximately $1.3m. The company expects to use proceeds from the offering for general corporate purposes, including working capital and capital expenditures such as the costs associated with the expansion of its production facility in Baltimore, Maryland.
Jesup & Lamont Securities Corporation acted as the placement agent in this transaction. NGBF offered the securities described pursuant to a registration statement previously filed and declared effective by the Securities and Exchange Commission (SEC).
Headquartered in Maryland, New Generation Biofuels is a publicly traded US-based technology company focused on providing biofuel generation technology.
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