InMed Pharmaceuticals closed a public financing option which will give the company gross proceeds of over $5.5 million.
The 12,788,000 Units issued include 1,668,000 Units issued and sold pursuant to the over-allotment option granted by the Company to the Underwriters, which was exercised in full.
Each Unit is comprised of one common share of the Company and one-half of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each Warrant has an exercise price of $0.65 per common share and is exercisable for a period of 24 months following the closing date for the Offering. The Warrants are only exercisable on a net cashless basis based on the five-day volume-weighted average trading price of the common shares of the Company on the Canadian Securities Exchange ending on the date immediately preceding the date of exercise.
In addition, InMed issued to the Underwriters a total of 535,620 non-transferable broker warrants (the “Broker Warrants”) in connection with the closing of the Offering. Each Broker Warrant entitles the holder to acquire a common share of the Company at an exercise price of $0.45 per common share for a period of 12 months following the closing date for the Offering.
InMed intends to use the net proceeds from the Offering for the following purposes: to support the continued research and development of INM-750 for the treatment of Epidermolysis Bullosa; to further develop the Company’s other research and development programs including its biosynthesis assets; for general and administrative expenses of the Company; and to fund working capital.