Full Press Release Details
Pharmaceuticals Announces Private Placement Final Close at $3.0
NEW YORK, NY APRIL 14, 2010 -
Manhattan Pharmaceuticals, Inc. (OTCBB: MHAN) today announced the final close of
its private placement in which it sold approximately 121 units, including the
conversion of approximately $400,000 of existing debt into 17 units, for an
aggregate of $3,029,386 of its common stock and warrants to accredited
investors. Each unit consisted of (i) 357,143 shares of
common stock and (ii) 535,714 warrants to purchase additional shares of common
stock at an exercise price of $0.08 per share. The net proceeds from
this financing will be used to advance the company's products including AST-726,
a nasally delivered treatment for vitamin B12 deficiency, and Hedrin , a
non-pesticide treatment for pediculosis (head lice), and for general corporate
4, 2010, the company announced the first closing in which it sold approximately
102 units for aggregate gross proceeds of the offering of approximately $2.55
million and aggregate net proceeds of approximately $2.2
million. National Securities Corporation served as placement agent
for the transaction.
securities have not been registered under the Securities Act of 1933, as
amended, (the "Securities Act") or any state securities law. The
securities offered and sold were issued in a private placement transaction and
may not be transferred or resold except as permitted by the Securities
Act. As part of the terms of the private placement, the Company has
agreed to file a registration statement to register for resale under the
Securities Act the shares of common stock underlying the units.
Manhattan Pharmaceuticals, Inc.
Pharmaceuticals is a specialty healthcare product company focused on the
development and commercialization of innovative treatments for underserved
patient populations. The Company is currently focused on two lead
programs: Hedrin , a
novel, non-insecticide treatment for pediculosis (head lice), which is being
developed through a joint venture with Nordic Biotech, and AST-726, a nasally
delivered vitamin B12
remediation treatment. The company is also studying AST-915 for the
treatment of essential tremor and a topical GEL product which may be
commercialized as an OTC treatment for mild psoriasis.
Regarding Forward-Looking Statements
This press release contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Such statements involve risks and uncertainties
that could cause Manhattan Pharmaceuticals, Inc.'s actual results to differ
materially from the anticipated results and expectations expressed in these
forward-looking statements. These statements are often, but not always, made
through the use of words or phrases such as "intends," "anticipates,"
"expects," "plans," "believes," "intends," "will," and similar words or phrases.
These statements are based on Manhattan Pharmaceuticals, Inc.'s current
expectations, forecasts and assumptions, which are subject to risks and
uncertainties, which could cause actual outcomes and results to differ
materially from these statements. Among other things, there can be no
assurances that the merger
with Ariston will be consummated or that Manhattan Pharmaceuticals,
Inc.'s (or its joint venture with Nordic's) development or
commercialization efforts relating to Hedrin, topical GEL, AST-726, or any other current or future product
candidates will be successful, that any clinical study will be completed or will
return positive results. Other risks that may affect forward-looking information
contained in this press release include the company's extremely limited capital
resources, the possibility of being unable to obtain regulatory approval
for Hedrin, the risk that the results
of clinical trials may not support the company's or its joint venture's
claims, the risk that the company's product candidates may not achieve market
acceptance in North America or elsewhere, the company's reliance on third-party
researchers to develop its product candidates, availability of patent
protection, the risk that sufficient capital may not be available to develop and
commercialize the company's product candidates, the risk that the company's planned
acquisition of Ariston Pharmaceuticals, Inc. may not be consummated,
and the company's lack of
experience in developing and commercializing pharmaceutical products. Additional
risks are described in the company's filings with the Securities and Exchange
Commission, including its Annual Report on Form 10-K for the year ended December
31, 2009. Manhattan Pharmaceuticals, Inc. assumes no
obligation to update these statements, whether as a result of new information,
future events, or otherwise, except as required by law.
Pharmaceuticals, Inc.
G. McGuinness, Chief Operating