Tracon Pharmaceuticals Inc. agreed to sell common shares for up to $15 million to Chicago-based private fund Aspire Capital Fund LLC over a period of 30 months.
San Diego-based biotechnology company Tracon issued 1,426,579 common shares to the asset management firm as consideration for entering into the agreement.
Tracon plans to use the proceeds to advance its potential drugs pipeline and product development platform. Funds will also be used for general corporate purposes.
Under the agreement, Tracon will be eligible to make requests to Aspire Capital for the purchase of shares. Moreover, Aspire Capital cannot ask Tracon to sell any shares.
Tracon holds the right to terminate the agreement at any time without any additional cost or penalty.