Full Press Release Details
Dr. Bernard L. Kasten
SIGA Technologies, Inc.
SIGA ANNOUNCES A $2.0 MILLION PRIVATE PLACEMENT
New York, November 3, 2005 -- SIGA Technologies, Inc. (NASDAQ: SIGA) today
announced that on November 2, 2005, the company entered into a Securities
Purchase Agreement for the issuance and sale to institutional investors of
2,000,000 shares of the Company's common stock at $1.00 per share and warrants
to purchase 1,000,000 shares of the Company's common stock. The warrants are
exercisable at any time and from time to time through and including the seventh
anniversary of the closing date at an exercise price equal to 110% of the
closing price of the Company's common stock on November 2, 2005.
The investors are also entitled to purchase additional shares of the Company's
common stock for a gross amount of $2,000,000 at an initial purchase price of
$1.10 per share for a period of 90 trading days following the effectiveness of a
registration statement.
The sale of common stock and warrants to purchase common stock was placed by The
Shemano Group, an institutional brokerage firm in San Francisco, CA.
About SIGA Technologies, Inc.
SIGA Technologies is applying viral and bacterial genomics and sophisticated
computational modeling in the design and development of novel products for the
prevention and treatment of serious infectious diseases, with an emphasis on
products for biological warfare defense. SIGA has the potential to become a
significant force in the discovery of vaccine and pharmaceutical agents to fight
emerging pathogens. SIGA's product development programs emphasize the
increasingly serious problem of drug resistant bacteria and emerging pathogens.
SIGA's vaccine and drug platforms are based on its pioneering research into the
structure, function and processing of bacterial surface proteins. In addition to
smallpox, SIGA also has antiviral programs targeting other Category A pathogens
which cause hemorrhagic fevers. Included are the arenaviruses (Lassa Fever
Virus, Junin, Macupo, Guanarito, and Sabia), Lymphocytic choriomeningitis virus
(LCMV), Dengue, and the filoviruses, Ebola and Marburg. For more information
about SIGA, please visit SIGA's Web site at www.siga.com.
Forward-looking statements
This Press Release contains certain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995, as amended,
including statements regarding the efficacy of potential products, the timelines
for bringing such products to market and the availability of funding sources for
continued development of such products. Forward-looking statements are based on
management's estimates, assumptions and projections, and are subject to
uncertainties, many of which are beyond the control of SIGA. Actual results may
differ materially from those anticipated in any forward-looking statement.
Factors that may cause such differences include the risks that (a) potential
products that appear promising to SIGA or its collaborators cannot be shown to
be efficacious or safe in subsequent pre-clinical or clinical trials, (b) SIGA
or its collaborators will not obtain appropriate or necessary governmental
approvals to market these or other potential products, (c) SIGA may not be able
to obtain anticipated funding for its development projects or other needed
funding, and (d) SIGA may not be able to secure funding from anticipated
government contracts and grants, (e) SIGA may not be able to secure or enforce
adequate legal protection, including patent protection, for its products and (f)
unanticipated internal control deficiencies or weaknesses or ineffective
disclosure controls and procedures. More detailed information about SIGA and
risk factors that may affect the realization of forward-looking statements,
including the forward-looking statements in this Press Release and the above
mentioned presentation, is set forth in SIGA's filings with the Securities and
Exchange Commission, including SIGA's Annual Report on Form 10-K for the fiscal
year ended December 31, 2004, and in other documents that SIGA has filed with
the Commission. SIGA urges investors and security holders to read those
documents free of charge at the Commission's Web site at http://www.sec.gov.
Interested parties may also obtain those documents free of charge from SIGA.
Forward-looking statements speak only as to the date they are made and except
for our obligations under the U.S. federal securities laws, we undertake no
obligation to publicly update any forward-looking statements as a result of new
information, future events or otherwise.