RNAi, deals, Life Sciences

RXi to Sell up to $25M in Stock

Ryan McBride 2/5/09

RXi Pharmaceuticals (NASDAQ:RXII), a Worcester, MA-based developer of RNA-interference drugs, says that is has agreed to sell up to $25 million of its common stock to YA Global Investments. The deal gives RXi—which was co-founded by Nobel Laureate Craig Mello and featured in a story that Luke wrote last year—the option to sell newly issued stock in increments of up to $500,000 to YA over the next two years at the lowest weighted average price of its shares over five straight trading days, less a 5-percent discount, according to the company.

Ryan McBride is Xconomy's correspondent. You can reach him at rmcbride@xconomy.com, or follow him on Twitter at http://twitter.com/Ryan_McBride.