Helius Medical raises $2m, looks for $10m more

Helius Medical raised $2 million in a new round of financing, looking to reel in another $10.3 million to bring its total up to $12.3 million for the round.

Newtown, Penn.-based Helius Medical did not release any information on what the funds will be used for. The $2 million in funds already raised come from 1 anonymous donor, according to the SEC filing.

Helius Medical said “the $7.0 million funding is convertible into units consisting of 1 common share and 1 half of 1 common share purchase warrant. The conversion rate and warrant exercise price are based on the current market price of the company’s common stock,” according to the SEC filing.

Last week, Helius said it named board member Joyce LaViscount to be its new CFO/COO, replacing Amanda Tseng, who retired. LaViscount, most recently CFO/COO at MediMedia Health, also put time in at Endo Pharmaceuticals (NSDQ:ENDP), Pfizer (NYSE:PFE), Bristol-Myers Squibb (NYSE:BMY) and Aptalis.

Earlier this month, Helius said it signed a $7 million strategic agreement with A&B Company Limited to develop and commercialize Helius’ Portable Neuromodulation Stimulator in China, Hong Kong, Macao, Taiwan and Singapore.

With the agreement, A&B will provide Helius with a $7 million credit facility, with $2 million drawn down and convertible promissory notes issued, the company said.

Helius said it will repay the $2 million by issuing 2.1 million shares of Helius at 96¢ per share and 1 million 3-year warrants at $1.44 per share.

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