Gamma camera probe developer Neoprobe of Dublin, OH, has signed a finance agreement, the company reported.
The terms of the agreement state that Neoprobe will receive $13 million from Platinum Montaur Life Sciences of New York City. The first installment is for $7 million in the form of a secured note due December 2011, which Neoprobe will use to repay $5.7 million in notes due January 2009, as well as to retire warrants to purchase shares of Neoprobe common stock associated with the notes.
The remaining $6 million will be disbursed in two parts, and will be used to support the development of Neoprobe's Lymphoseek product, a lymphatic mapping agent labeled with technetium-99m DTPA-mannosyl-dextran and designed to be used with handheld gamma detection devices in sentinel lymph node biopsy procedures.
The first disbursement of $3 million will occur once phase 3 trials for Lymphoseek have started, while the second disbursement will occur once 200 patients have been enrolled in the phase 3 trials.
Related Reading
Neoprobe extends agreement with Ethicon, December 20, 2007
Neoprobe, Cardinal Health ink distribution deal, November 28, 2007
Neoprobe cuts loss on higher sales, October 31, 2007
Cardinal hires Philips executive, August 13, 2007
Neoprobe posts Q2 loss on higher sales, July 26, 2007
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