Rancho Cordova-based Cesca Therapeutics Inc. on Tuesday announced the signing and initial closing of a definitive agreement to raise $15 million in senior secured convertible debentures and warrants from an institutional investor.
Cesca does research, development and commercialization of products used in regenerative medicine. Cesca formerly operated as ThermoGenesis Corp. It was renamed in 2014 after finalizing its merger with Los Angeles-based TotipotentRX Corp.
The company said it intends to use proceeds from the private placement “for working capital in support of its ongoing clinical initiatives.”
In a statement, Cesca CEO Robin Stracey, said the financing “represents a significant vote of confidence in our clinical program from a sophisticated life science investor that believes strongly in the potential of our company and our long-term growth prospects.”
In late June, Cesca reported a loss of $4.8 million, or 12 cents per share, for its fiscal third quarter that ended March 31.