NovaBay Pharmaceuticals (NYSE:NBY) said today that its shareholders have approved a deal to issue 2.4 million shares of common stock as part of a $10.3 million deal with Beijing-based Ch-gemstone Capital.
The private placement is slated to close in January next year, contingent upon approval by regulatory authorities in China.
“We appreciate our stockholders’ support for this financing with an investor that has expressed interest in NovaBay’s long-term success,” president & CEO Mark Sieczkarek said in prepared remarks. “We look forward to completing this financing and plan to use these funds to advance our Avenova growth strategy.”
The biopharmaceutical company is working to develop non-antibiotic products for the topical anti-infective market. NovaBay is developing its Avenova product for the removal of microorganisms and debris on and around the eyelid.
NBY shares closed yesterday at $3.40 apiece, up 6.3%.
