No announcement yet.

Boston Life Sciences Announces Transfer and Amendment of 1.8 Million Company Warrants

  • Filter
  • Time
  • Show
Clear All
new posts

    Boston Life Sciences Announces Transfer and Amendment of 1.8 Million Company Warrants

    Boston Life Sciences Announces Transfer and Amendment of 1.8 Million Company Warrants

    BOSTON--(BUSINESS WIRE)--Nov. 26, 2002--Boston Life Sciences, Inc. (NASDAQ:BLSI) announced that it had entered into an agreement with certain investors and Brown Simpson Partners I, Ltd. under which the Company consented to the transfer of outstanding warrants to purchase 1,820,123 shares of the Company's common stock (the "Warrants") previously owned by Brown Simpson. Effective upon the transfer, the terms of the Warrants were amended, among other things, to reduce the exercise price from $2.15 per share to $2.00 per share, to extend the expiration date from September 22, 2004 to December 31, 2006 and to eliminate the reset provisions. In addition, the anti-dilution provisions were modified to provide only for customary events such as stock splits. As a result of these transactions, the conversion price of the Company's 10% Convertible Senior Secured Promissory Note issued to Ingalls & Snyder Value Partners in July 2002 was reduced from $2.16 per share to $2.00 per share.

    "We are pleased to announce the transfer and amendment of approximately 1.8 million warrants of Boston Life Sciences," stated Dr. Robert J. Rosenthal, President and Chief Operating Officer of the Company. "We are gratified at the support of these investors as well as the elimination of certain provisions which could have caused the warrants to be significantly dilutive."

    In connection with the foregoing transaction, the Company amended its shareholder rights plan to exempt Ingalls & Snyder, L.L.C., Ingalls & Snyder Value Partners, L.P. and Robert L. Gipson from being an "Acquiring Person" so long as such persons, collectively, together with all affiliates of such persons, beneficially own less than 20% of the shares of common stock then outstanding.

    On November 25, 2002, the Company filed a Current Report on Form 8-k (which includes the consent to transfer and the revised warrants) and an amendment to its registration statement covering the Rights under the shareholder rights plan on Form 8-A/A (which includes the amendments to Rights Agreement) with the Securities and Exchange Commission.

    BLSI is developing novel diagnostics and therapeutics for Parkinson's Disease (PD) and Attention Deficit Hyperactivity Disorder (ADHD) as well as treatments for cancer, autoimmune disease, and central nervous system disorders. BLSI's products in development include: ALTROPANE(TM) and FLUORATEC(TM) radioimaging agents for the diagnosis of PD and ADHD; Troponin I, a naturally-occurring anti-angiogenesis factor for the treatment of solid tumors; AF-1 and Inosine, nerve growth factors for the treatment of acute and chronic CNS disorders; novel therapies for the treatment of PD and ADHD; and transcription factors that may control the expression of molecules associated with autoimmune disease and allergies.

    Statements made in this press release other than statements of historical fact represent forward-looking statements. Such statements include, without limitation, statements regarding expectations or beliefs as to future results or events, such as the expected timing and results of clinical trials, discussions with regulatory agencies, schedules of IND, NDA and all other regulatory submissions, the timing of product introductions, the possible approval of products, and the market size and possible advantages of the Company's products. All such forward-looking statements involve substantial risks and uncertainties, and actual results may vary materially from these statements. Factors that may affect future results include: the availability and adequacy of financial resources, the ability to obtain intellectual property protection, delays in the regulatory or development processes, results of scientific data from clinical trials, the outcome of discussions with potential partners, regulatory decisions, market acceptance of the Company's products, and other possible risks and uncertainties that have been noted in reports filed by the Company with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K.


    Boston Life Sciences, Inc.

    Joseph Hernon, 617/425-0200

    SOURCE: Boston Life Sciences, Inc.