GERMANTOWN, Md., Oct. 16, 2017 /PRNewswire/ -- Intrexon Corporation (NYSE: XON), a leader in the engineering and industrialization of biology to improve the quality of life and health of the planet, today announced that it has entered into a Preferred Stock Equity Facility with an affiliate of Third Security, LLC, a venture capital firm founded by Randal J. Kirk, Intrexon's Chairman and Chief Executive Officer ("Investor"). Under the facility, Intrexon may, at its discretion, sell to the Investor up to $100 million of newly issued Series A Redeemable Preferred Stock. Any such preferred stock will be non-voting, will accrue dividends of 8% per annum, and will be convertible to common stock only following receipt of shareholder approval by the Company, including a majority of the shares voted unaffiliated with Mr. Kirk. Upon an approval by the Company's shareholders, the Series A Preferred Stock will be converted into Intrexon common stock based on a 20 Day Volume Weighted Average Price prior to the shareholder approval.
Mr. Kirk said, "Third Security has invested in Intrexon over the years because we believe its technology platforms hold the potential to enable a broad array of valuable products across multiple industry sectors. Today, as Intrexon enhances its focus on the scale up and commercialization of the most mature of these opportunities, including cutting-edge gene and cell therapies, natural gas upgrading to valuable fuels and chemicals, innovative crop protection, non-browning apples, as well as eco-friendly self-limiting insects, I am pleased to provide access to this capital to the company at its election to further its already significant standing in this age of engineered biology."
The equity facility will be available to Intrexon through April 30, 2019. The Series A Preferred Stock is redeemable at the election of the Company at any time, or at the election of Third Security after December 31, 2020. Further information regarding the equity facility can be found in Intrexon's Current Report on Form 8-K filed today.
About Intrexon Corporation
Intrexon Corporation (NYSE: XON) is Powering the Bioindustrial Revolution with Better DNA™ to create biologically-based products that improve the quality of life and the health of the planet. The Company's integrated technology suite provides its partners across diverse markets with industrial-scale design and development of complex biological systems delivering unprecedented control, quality, function, and performance of living cells. We call our synthetic biology approach Better DNA®, and we invite you to discover more at www.dna.com or follow us on Twitter at @Intrexon, on Facebook, and LinkedIn.
Intrexon, Powering the Bioindustrial Revolution with Better DNA, and Better DNA are trademarks of Intrexon and/or its affiliates. Other names may be trademarks of their respective owners.
Safe Harbor Statement
Some of the statements made in this press release are forward-looking statements. These forward-looking statements are based upon our current expectations and projections about future events and generally relate to our plans, objectives and expectations for the development of our business. Although management believes that the plans and objectives reflected in or suggested by these forward-looking statements are reasonable, all forward-looking statements involve risks and uncertainties and actual future results may be materially different from the plans, objectives and expectations expressed in this press release.
SOURCE Intrexon Corporation