PharmaDrug Inc (CSE:PHRX, OTCQB:LMLLF) announced that it will acquire all of the issued and outstanding shares of Securedose Synthetics Inc, a privately-held pharmaceutical Research and Development company focused on the development of synthetic formulations of currently existing drugs for potential commercialization and distribution.
The specialty pharmaceutical company said it expects SecureDose to complement its current focus by adding the capability to develop its own formulations that could potentially reach commercialization in a shorter time frame than traditional full cycle biotech programs.
"With the cepharanthine program now back in full swing, the company believed it made sense to acquire a company whose core competency is the development of synthetic formulations," PharmaDrug CEO Robert Steen said in a statement.
"This could give PharmaDrug the capability to develop formulations of existing drugs that don't necessarily require separate efficacy studies and potentially provide commercialization and revenue opportunities in a much shorter time frame," he added.
The acquisition will see each issued and outstanding share of SecureDose being exchanged for one PharmaDrug common share.
SecureDose currently has 31.5 million shares issued and outstanding and following the transaction PharmaDrug will have 82,883,487 shares outstanding.
The company noted that SecureDose shareholders will own 38% of PharmaDrug's outstanding stock.
SecureDose currently has C$750,000 in cash and no debt outstanding, according to the company.
The acquisition is expected to close in early November 2023.
PharmaDrug is a specialty pharmaceutical company focused on the research, development and commercialization of controlled substances and natural medicines such as psychedelics and previously approved drugs.
Contact Sean at sean@proactiveinvestors.com