Amarantus BioScience Holdings today said that it closed on a $5 million investment from privately held mutual fund Discover Growth Fund.
Amarantus plans to use the financing to further develop and commercialize its neurology diagnostic products and therapeutic drug candidates, and for other working capital expenses, it said. In conjunction with the investment, the San Francisco-based company issued a new class of preferred stock, Series G, that is convertible into Amarantus’ common stock at a fixed price of $.06 per share.
“This infusion of capital enables the company to achieve critical product development and commercialization milestones in each of our core programs as we enter the next phase of growth for Amarantus and begin to realize the true potential from our rich product portfolio,” Amarantus President and CEO Gerald Commissiong said in a statement.
Amarantus develops diagnostics and treatments for neurological, psychiatric, and ophthalmologic diseases, as well as for regenerative medicine applications. Earlier this year it signed deals with Anavex and Georgetown University aimed at Alzheimer’s disease biomarkers. In January, it acquired DioGenix, a firm developing molecular tests for immune-mediated neurodegenerative diseases, for up to $10.9 million.