Columbia Laboratories Registered Direct Offering (NASDAQ:CBRX)

Columbia Laboratories, Inc. (NASDAQ:CBRX), a company that is into the development, manufacturing and commercialization of pharmaceutical products has successfully raised around $11,772,000 in gross proceeds through the sale of 10,900,000 shares of its common stock and warrants to purchase 5,450,000 shares of its common stock in a registered direct offering. The Company is a specialty pharmaceutical company focused on developing and commercializing products for the women’s healthcare and endocrinology markets that use its novel bioadhesive drug delivery technology. The Company is conducting, in collaboration with the NIH, the PREGNANT Study, a randomized, double blind, placebo controlled 450-patient Phase III clinical trial evaluating the ability of PROCHIEVE® 8% (progesterone gel) to reduce the risk of preterm birth in women.

@@Adsense@@ The common stock and warrants were completely sold out with each unit consisting of one share of common stock and a warrant to purchase 0.5 shares of common stock at a price of $1.08 per unit in a registered direct offering. The warrants will be exercisable at an exercise price of $1.52 per share of common stock at any time on or after April 30, 2010 and ending on April 30, 2015. Net proceeds to the Company are expected to be approximately $10,709,000 after offering-related fees and expenses.

For Columbia Laboratories this transaction will also fund the execution of their life cycle management program for their progesterone franchise. Hence, their next-generation progesterone products will have an extended patent protection for an additional six years, thereby ensuring continued growth and returns on their investments and those of their shareholders. The proceeds of the offering will also be used for general corporate purposes and for the ongoing PREGNANT study. Executives of Columbia Laboratories also said that if the results of PREGNANT study are positive than they will file with the FDA for the short cervix indication.