Sichenzia Ross Friedman Ference Represents Drugmax, Inc. in $51 Million PIPE Transaction; Year to Date PIPEs Representation Exceeds $175 Million
New York, NY – October 5, 2005 – Sichenzia Ross Friedman Ference LLP (“SRFF”) announced today that it represented DrugMax, Inc, (Nasdaq: DMAX) in connection with a $51.1 million placement of its common stock and warrants. This representation included compliance with all Nasdaq stock market rules for issuance of equity securities. From January 1 through October 1, 2005, SRFF has represented public companies in at least 42 PIPE transactions with an aggregate dollar amount of $175 million. The firm has been ranked first in the nation since June 2004 for the number of public issuers they have represented in such transactions.
Led by partner Thomas A. Rose, SRFF consummated this transaction in an expeditious and efficient manner, allowing DMAX to execute its business plan to regain compliance with all Nasdaq listing requirements.
According to Ed Mercadante, CEO of DMAX, closing this deal “significantly improve[d] DrugMax’s financial strength” and gave them “the flexibility to take advantage of opportunities to expand its specialty pharmacy and worksite pharmacy business for the benefit of all [their] shareholders.”
The magnitude of this deal illustrates SRFF’s continued dominance of the PIPEs market. The DMAX closing marks SRFF’s 42nd significant placement advised for issuers this year, doubling the number of transactions for the same time period in 2004. In addition, the aggregate dollar amount the firm has advised has tripled, increasing from $57 million to $175 million, while average transaction size has grown from $2.7 million to $4.2 million in the same period. As the leading PIPEs transaction placement firm in the nation, SRFF continues to distinguish itself by actively pursuing and executing deals for DMAX and other forward-thinking clients through its dynamic corporate practice.
For more information about PIPEs rankings, go to www.pipesreport or www.privateraise.com.
About Sichenzia Ross Friedman Ference LLP
Sichenzia Ross Friedman Ference LLP provides experienced professional representation in all matters involving the securities industry as well as general corporate and litigation matters. Our clients range from start-ups to established, listed companies. They include private and public corporations, partnerships, broker-dealers, bank-affiliated broker-dealers, investment advisors, registered personnel, public and corporate customers and investors, partnerships and other entities. We also advise institutional investors on transactions involving complex securities law considerations. Our areas of expertise include corporate and commercial transactions, securities litigation, and arbitration, administrative practice before regulatory agencies, mergers and acquisitions and broker-dealer regulation. For additional information about Sichenzia Ross Friedman Ference’s nationally ranked PIPEs practice, go to www.srff.com.