Arno Therapeutics, Inc. (OTCPK:ARNI) announced that it entered into a convertible note purchase agreement for a private placement of unsecured convertible promissory notes for gross proceeds of $2,100,000 with certain accredited investors on October 21, 2015. The notes carry a fixed coupon of 6% per annum and would mature on October 21, 2016. The transaction included participation from officers and directors of the company, including Managing Director Arie S. Belldegrun subscribed for $500,000, Commercial Street Capital, LLC subscribed for $500,000, Steven B. Ruchefsky subscribed for $500,000, Tomer Kariv, David M. Tanen LLC subscribed for $125,000, and Managing Director Alexander Zukiwski subscribed for $50,000.

All such officers and directors made such investment on the same terms as all other purchasers under the purchase agreement. The principal and accrued interest under the notes may be converted any time after December 31, 2015. The notes are convertible into common shares at a per share price equal to the average closing price of the company's common stock during the 50 trading days immediately preceding conversion.

The company issued the securities pursuant to exemption provided under Regulation D.