Motif Bio Plc (LON:MTFB) – BUY*: European placing and US IPO on NASDAQ
Market Cap: £28m; Current Price: 26p; Target Price: 114p
From Friday: European placing and NASDAQ IPO raise $25m
On Friday Motif Bio Plc announced the pricing of its initial public offering in the United States of approximately 2.44 million American Depositary Shares (ADSs) with 50% warrant coverage.
Each ADS, representing 20 ordinary shares of Motif, and warrant to purchase 0.5 ADSs was offered at an offering price to the public of $6.98 per ADS and warrant combination.
Each full ADS warrant has a per ADS exercise price of $8.03. The ADS warrants were exercisable immediately and have a term of five years.
Motif has also conducted a concurrent placement in Europe of 22.9 million ordinary shares with 50% warrant coverage, in which Northland Capital Partners acted as Joint Broker.
Each ordinary share and warrant to purchase 0.5 of an ordinary share was offered at an offering price of 28 pence per ordinary share and warrant combination. Each full ordinary share warrant will have a per ordinary share exercise price of 32.2 pence. The ordinary share warrants were exercisable immediately and have a term of five years.
The aggregate gross proceeds to Motif from the U.S. offering and concurrent European placement are approximately $25.0 million.
The net proceeds from the U.S. offering and concurrent European placement will provide sufficient capital to enable the Company to complete the REVIVE-1 trial, which is expected to read out in Q2-2017.
* Northland Capital Partners acts as Joint Broker
NORTHLAND CAPITAL PARTNERS VIEW: Completing a NASDAQ listing represents another milestone for Motif. As a result of the $25m raised in both the IPO and concurrent European offering, the group’s flagship antibiotic iclaprim is now funded to complete its pivotal Phase 3 REVIVE-1 trial. The trial’s read-out is expected in Q2-2017. Iclaprim is set to fill a major market void in the wake of a global public health crisis driven by rampant antibiotic resistance.
URU Metals Ltd (LON:URU) – CORP: Board appointment
Market Cap: £1.9m; Current Price: 0.6p
John Zorbas, CEO, joins the Board
John Zorbas, CEO of URU Metals, has been appointed to the Board.
Mr Zorbus is the Executive Chairman of NWT Uranium Corporation that owns 70,382,453 shares and represents around 21.4% of the Company’s issued share capital.