CellSeed Inc. (JASDAQ:7776) announced a private placement of 254,492 shares at ¥668 per share for ¥170,000,656 and 649 No. 9 prepaid warrants at ¥5,300 per warrant for ¥3,439,700 for gross proceeds of ¥173,440,356 on December 11, 2012. The company will receive net proceeds of ¥157,600,656 from issuance of shares.

The securities will be subscribed by Milestone Capital Management Co., Ltd. as part of the third party allocation. The warrants will be exercisable at a price of ¥1,002,000 per share. The company will bear expenses of ¥47,100,000 including ¥6,000,000 for legal fees, warrant valuation, issue support related expenses, ¥36,500,000 for financial advisory expenses, and registration related expenses ¥3,000,000, and other expenses of share commissions, external examination expenses of ¥1,600,000.

Expenses include the procedures to be completed on exercise of warrants. The issuance date is December 27, 2012. The board of the company approved the transaction.