York County-based syringe manufacturer Unilife Corp. said it is offering $20 million in stock to pay for continued development and production of its medical devices.
The company that makes safety syringes and prefilled syringes for drug markets is offering more than 6.1 million shares of its stock at $3.25 a share, it said in a statement. Conewago Township-based Unilife expects to net slightly less than $19 million after offering expenses, it said. The offering closes July 5.
Unilife said it plans to use the money for syringe development, capital equipment purchases to expand its production, working capital and general corporate purposes.
Last week, Unilife announced it had signed a new contract with an unnamed pharmaceutical company to supply Unifill syringes for a generic auto-immune therapy in European markets. Initial sales are expected to reach as many as 10 million units and generate up to $15 million in annual revenue, according to the company.
Unilife offered similar stock sales last year to raise capital in its ramp up to supply agreements, such as its two-year syringe supply deal with Premier Inc. Charlotte-based Premier is a group contracting company that provides products, services and health care consulting for more than 80,000 U.S. medical facilities.