Medicago offers $7 million of units

Medicago (TSX:MDG) has entered into an agency agreement and carried out an overnight marketed offering to sell up to 17,283,952 units at a price of 40.5 cents each in order to finance its $7.5 million share of a new U.S. pandemic vaccine plant that includes a grant from an arm of the U.S. Department of Defence.

Each unit consists of one common share and three-quarters of a warrant. Each full warrant can be exercised to purchase an additional common share for 50 cents over the next five years.

The offering is being conducted by Dundee Securities and Paradigm Capital, as agents, and ROTH Capital and Bloom Burton as members of the selling group. The transaction is expected to close on Aug. 19.