It is noteworthy when a company broadcasts its intentions to raise money, in part because it is legally borderline to do so.

Here is what the SEC says, regarding private securities offerings: “You may not use any form of public solicitation or general advertising in connection with the offering.” (See our post about this here, and read the helpful comment at bottom)

Yet it happens on a regular basis. Burlingame’s VistaGen Therapeutics is just the latest. Data indicates one of its drugs in development could treat Parkinson’s disease, the company told VentureWire (sub required), adding that it plans to raise $15 million to $20 million in a fourth round of funding next year.

“We will be approaching the market in January,” [CEO] Snodgrass said of the round, for which the company is now preparing investor documents. “We are looking to close that in the first half of next year.”….VistaGen plans to file an Investigational New Drug application with the Food and Drug Administration in the second half of 2007, with the beginning of a Phase I trial for the drug also slated for that time.

As usual, we’re be interested in feedback on this issue? Does anyone care?