SAN DIEGO (AP) -- Cytori Therapeutics Inc. said Friday that it plans to sell 7 million shares of its stock to the public, and expects to raise about $18.5 million.
The company priced the offering at $2.85 per share, a discount of 14.2 percent from Thursday's closing price. Cytori expects $18.5 million in proceeds after deducting underwriting discounts, commissions, and other items, and said it will use those funds for general corporate purposes, including development and sale of Celution System products.
The Celution system is designed to take regenerative cells out of a patient's fat tissue. Cytori is using those cells to develop treatments for cardiovascular disease and soft tissue ailments.
The company's shares closed at $3.32 on Thursday and lost 46 cents, or 14.2 percent, to $2.85 Friday morning.
The underwriters of the offering will have the option to buy 1.1 million more shares in the next 30 days to cover any overallotments. Cytori said it expects to complete the sale Wednesday.
Cytori had said Thursday afternoon that it planned to raise money through a stock offering. The company had 58.8 million shares on the market as of Oct. 31.