31 August 2020
Release date 27 August 2020
Exopharm Limited is pleased to announce it has received firm commitments from institutional and high net worth investors for a placement of 41,666,667 shares to raise a total of $10 million in a well-supported placement (Placement).
The Placement will be completed in two tranches. Tranche 1 will comprise 23,868,000 shares at $0.24 and will be issued under the Company’s existing placement capacity, with 14,320,800 shares being issued under ASX LR7.1 and 9,547,200 shares being issued under ASX LR7.1A. Tranche 2 will comprise 17,798,667 shares at $0.24 and will be subject to shareholder approval at a general meeting that is anticipated to be held in October 2020. A fee of 6% will be payable to Canary Capital for managing the placement as well as the issue of 1,500,000 options with an exercise price of $0.40 with a five-year expiry.
Canary and its directors have elected to take the majority of these fees in shares instead of cash. This shows the conviction Canary has in the future of the Company.
“In Exopharm, Canary has identified an Australian company with proprietary technology that can compete on the world stage. We are delighted that there was such strong support for the capital raising and we look forward to working with Exopharm as the business develops over coming months and years,” said Paul Hart, Executive Director of Canary Capital.
“We are encouraged by such strong demand for the Placement from both existing and new institutional and sophisticated investors. The capital raise together with the R&D rebate will put the Company in a strong financial position to execute its strategy of becoming a world leader in exosome medicines through the commercialisation of its technology platforms and the development of new medicines,” said Ian Dixon, CEO of Exopharm.