Neptune Prices US$25 Mln Stock Offering

(RTTNews) - Neptune Technologies & Bioressources Inc. (NEPT, NTB.TO) said Friday that it has priced an underwritten public offering of 10 million newly issued common shares at a public offering price of US$2.50 per share.

The gross proceeds to Neptune, before underwriting commissions and other offering expenses, are expected to be approximately US$25 million.

The company has granted the underwriters of the offering an option to purchase an additional 1.5 million common shares at the public offering price during the period ending 30 days from the closing of the offering.

The closing of the offering is expected to occur on or about March 5.

Of the total net proceeds from the offering, Neptune plans to allocate approximately US$10 million for sales, marketing and distribution of its krill oil products, approximately US$5 million to support one of its subsidiaries, NeuroBioPharm Inc., in the development and validation of its product candidates, approximately US$5 million to finance the start-up and ramp-up of its new production facility, approximately US$2 million to maintain, manage and develop its intellectual property portfolio and to protect it against infringement by third parties, and the balance for general corporate and other working capital purposes.