The Elite Pony Up

//May 7, 2007

Around the State – NorthNORTHVALE Elite Pharmaceuticals last week finished selling $15 million of its series C preferred stock to institutional and other private investors. Shares of the drug developer and manufacturer, which makes control-released drugs to be taken orally, were trading at $2.32 Thursday afternoon.

During the private placement, 15,000 series C shares were sold at $1,000 apiece. Each share may be initially converted into about 431 shares of common stock, for a total of some 6.5 million shares, at $2.32 per share. Purchasers will also get warrants to buy an aggregate of nearly 2 million shares of common stock at $3 per share, exercisable on or before April 24, 2012.

Oppenheimer & Company Inc. of New York City was the lead placement agent for the offering.