Kintera gets $5 million in private stock placement.

Kintera, Inc., a provider of software as a service to nonprofits, announced it has entered into an agreement with institutional investors for the private placement of 4 million shares of its common stock at $1.25 per share, for anticipated aggregate proceeds of $5 million.

The company announced that it also plans to issue warrants to purchase up to 1.2 million shares of its common stock at an exercise price of $1.60 per share, which warrants are callable by the company under certain conditions. The closing is expected to be as soon as practicable. The proceeds will be used for general corporate purposes, according to the announcement.

The shares and warrants will not be registered under the Securities Act, or any state securities laws, and will be sold and issued in a private transaction under Regulation D. Unless the shares and warrants are registered, they may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state laws, according to Kintera.

Additional information about the common stock financing is in the company's Current Report on Form 8-K filed with the Securities and Exchange Commission.