ChromaDex Corp. plans to raise $7 million in gross proceeds from a private placement of common stock priced at $4.465 each.
The Irvine, Calif.-based company entered a securities purchase agreement to sell 1,567,748 of its shares in a private placement led by new strategic investors. Oppenheimer & Co. Inc. acted as placement agent for the transaction.
The private placement, which is expected to close on or about Aug. 15, is in addition to the $10 million convertible notes issued by the company in May to existing investors.
ChromaDex plans to use the proceeds to expand its product Tru Niagen, also known as nicotinamide riboside, in the international markets.
The product, currently approved in the U.S., boosts the production of nicotinamide adenine dinucleotide, or NAD+, in the body. A decline in NAD is said to play a major role in how humans age.