On January 31, 2020 Syndax Pharmaceuticals, Inc. ("Syndax," the "Company" or "we") (Nasdaq:SNDX), a clinical stage biopharmaceutical company developing an innovative pipeline of cancer therapies, reported that it has entered into an agreement with five leading life sciences investors, including Biotechnology Value Fund, L.P., Boxer Capital and AI Life Sciences Investments LLC, an affiliate of Access Industries Inc., for the purchase of common stock at $8.00 per share, representing a premium of 20% to the share price as of market close on Thursday, January 30, 2020 (Press release, Syndax, JAN 31, 2020, View Source [SID1234553734]). Syndax anticipates aggregate gross proceeds from the offering will be approximately $35.0 million. Closing of the transaction is expected to occur on or about February 4, 2020.
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In addition, Syndax Pharmaceuticals announced that it has entered into a term sheet with Hercules Capital, Inc. (NYSE: HTGC) for a term loan of up to $30.0 million, consisting of an initial tranche of $20.0 million to be funded at the closing with the potential for a second tranche of $10.0 million subject to satisfaction of certain terms and conditions. The debt facility is expected to be used to support the Company’s pipeline programs. The term loan is subject to negotiation and execution of definitive agreements.
The securities described above are being offered by Syndax pursuant to a shelf registration statement previously filed with the Securities and Exchange Commission (the "SEC"), which the SEC declared effective on September 10, 2019. A final prospectus supplement related to the offering will be filed with the SEC, and will be available on the SEC’s website located at View Source Additional information about the debt facility with Hercules will be contained in a future Current Report on Form 8-K to be filed by the company with the U.S. Securities and Exchange Commission.
This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities, nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such state. Any offering of the securities under the resale registration statement will only be by means of a prospectus.