Merrimack Plans Concurrent Public Offerings Of Common Stock, Senior Notes

(RTTNews) - Merrimack Pharmaceuticals, Inc. (MACK) said Wednesday that it plans to offer $50 million of its common stock and $75 million in aggregate principal amount of its convertible senior notes due 2020 in concurrent underwritten public offerings.

The company expects to grant the underwriters in the common stock offering an option, exercisable for 30 days, to purchase up to an additional $7.5 million of its common stock and to grant the underwriters in the Notes offering an option, exercisable for 30 days, to purchase up to an additional $11.25 million in aggregate principal amount of the Notes.

Merrimack said it expects to use the net proceeds from both offerings to complete the clinical development of, seek marketing approval for and fund pre-approval commercial efforts for MM-398 for the treatment of patients with metastatic pancreatic cancer whose cancer has progressed on treatment with the chemotherapy drug gemcitabine, to partially fund the clinical development of other clinical stage product candidates (including MM-398 for indications other than pancreatic cancer), to fund pre-clinical and research and development efforts and for other general corporate purposes.