SAN DIEGO, April 15 /PRNewswire-FirstCall/ —ACADIA Pharmaceuticals Inc.(Nasdaq: ACAD), a biopharmaceutical company utilizing innovative technology tofuel drug discovery and clinical development of novel treatments for centralnervous system disorders, today announced that it has entered into adefinitive purchase agreement for a $36 million private placement of newlyissued shares of common stock and the concurrent issuance of warrants for thepurchase of additional shares of common stock. The financing is expected toclose on April 20, 2005.
At closing, ACADIA will issue 5.3 million shares of common stock at aprice of approximately $6.82 per share, together with warrants to purchase 1.3million additional shares of common stock at an exercise price of $8.148 pershare, to both new and existing institutional investors. ACADIA intends touse the net proceeds from the financing to advance its clinical, preclinicaland discovery programs, and for working capital and general corporatepurposes.
"We are gratified by the support and confidence our new and existinginvestors have expressed in ACADIA's pipeline of drug candidates and ourbusiness prospects with this financing," said Uli Hacksell, Ph.D., ChiefExecutive Officer of ACADIA. "This financing significantly strengthens ourfinancial position and enables us to continue to advance our three proprietaryPhase II clinical programs while further broadening our pipeline of drugcandidates."
The shares of common stock to be sold in the private placement have notbeen registered under the Securities Act of 1933, as amended, or statesecurities laws and may not be offered or sold in the United States absentregistration with the Securities and Exchange Commission ("SEC") or anapplicable exemption from the registration requirements. The shares wereoffered and will be sold only to qualified institutional buyers and a limitednumber of accredited investors. ACADIA has agreed to file a registrationstatement with the SEC covering resale of the common stock issued in theprivate placement and issuable upon the exercise of the warrants.
This news release is not an offer to sell or the solicitation of an offerto buy the shares of common stock of ACADIA.
About ACADIA Pharmaceuticals
ACADIA Pharmaceuticals is a biopharmaceutical company utilizing innovativetechnology to fuel drug discovery and clinical development of novel treatmentsfor central nervous system disorders. ACADIA currently has four drug programsin clinical development as well as a portfolio of preclinical and discoveryassets directed at large unmet medical needs, including schizophrenia,Parkinson's disease, neuropathic pain, and glaucoma. Using its proprietarydrug discovery platform, ACADIA has discovered all of the drug candidates inits product pipeline. ACADIA's corporate headquarters and biology researchfacilities are located in San Diego, California and its chemistry researchfacilities are located near Copenhagen, Denmark.
This release contains forward-looking statements that involve risks anduncertainties, including statements with respect to the purchase of securitiesof ACADIA and the use of proceeds. Actual events or results may differmaterially from those projected in any forward-looking statements due tovarious factors, including the risks and uncertainties inherent in drugdevelopment and commercialization. Among the factors that could cause actualresults to differ materially from those indicated by such forward-lookingstatements are: the ability to fund, and the results of, research, developmentand clinical trials; the timing and success of submission, acceptance, andapproval of regulatory filings; the ability of ACADIA to meet the closingconditions required for the consummation of the financing; and certain otherfactors that are detailed in ACADIA's annual report on Form 10-K for the yearended December 31, 2004 filed with the SEC. In addition, the statements inthis press release represent ACADIA's expectations and beliefs as of the dateof this release. These forward-looking statements should not be relied uponas representing ACADIA's expectations or beliefs as of any date subsequent tothe date of this press release.
Contacts:
ACADIA Pharmaceuticals Inc.
Thomas H. Aasen, Vice President and Chief Financial Officer
Lisa Barthelemy, Director, Investor Relations
+1 858-558-2871
CONTACT: Thomas H. Aasen, Vice President and Chief Financial Officer, orLisa Barthelemy, Director, Investor Relations, both of ACADIA PharmaceuticalsInc., +1-858-558-2871
Web site: http://www.acadia-pharm.com