Spectrum Pharmaceuticals Inc., Irvine, said Monday that it raised $42 million in a stock sale.
The cancer drug developer said it sold 8 million shares of its stock for $5.25 a share.
In a statement, Chief Executive Rajesh Shrotriya said the funds “reinforces our balance sheet, providing sufficient cash to fund our current operations and clinical development initiatives and to continue executing on our business strategy.”
Spectrum said “leading biotech institutional investors” bought the shares. Rodman and Renshaw LLC, a New York investment bank, managed the stock sale.
Investors also received six-year warrants to buy up to 4 million shares of its common stock at an exercise price of $6.62 a share.
Spectrum shares were down 2.3% to $5.13 in trading Monday.
