PLx Pharma Inc. is selling 15,000 shares of newly issued series A convertible preferred stock to Park West Asset Management LLC for gross proceeds of $15 million.

Houston-based PLx Pharma will issue the preferred stock at $1,000 apiece which will be convertible into common shares at $2.60 each.

Proceeds from the stock issuance will be used to advance heart drug Vazalore and for working capital and general corporate purposes. Vazalore is a liquid-filled aspirin capsule intended for preventing and treating heart disease and stroke.

As part of the stock purchase agreement, Park West will be entitled to elect one director to PLx's board.

The company anticipates closing the transaction in the first quarter of 2019, subject to shareholder approval and closing conditions.

JMP Securities LLC serves as the sole placement agent for the offering.