Algernon Pharmaceuticals Inc. (CSE:AGN) (FRA:AGW) (OTCQB:AGNPF), said it has increased and completed its previously announced non-brokered private placement of units raising gross proceeds of C$2,815,010.
The clinical-stage pharmaceutical development company said it has issued an aggregate of 11,260,040 units at the price of C$0.25 each, with the net proceeds of the offering to be used to fund the company’s general corporate purposes.
READ: Algernon Pharmaceuticals launches non-brokered private placement of 10,800,000 units for total proceeds of C$2,700,000
Each unit in the offering was comprised of one Class A common share and one share purchase warrant. Each whole warrant entitling the holder to acquire one additional share at a price of C$0.40 per share until March 5, 2023, subject to an accelerated expiry option.
In connection with the offering, the company said it has paid cash commissions in the aggregate amount of C$161,400, being 8% of the aggregate proceeds raised from the sale of units to purchasers introduced by eligible finders. In addition, the company has issued 645,600 finder’s warrants, being 8% of the number of units sold under the offering to purchasers introduced by such finders. Each finders’ warrant entitles the holder to purchase one unit at a price of C$0.40 each until March 5 2023.
All securities issued in connection with the offering are subject to a statutory hold period of four months, expiring July 5, 2021 in accordance with applicable securities legislation.
Algernon is a drug re-purposing company that investigates safe, already approved drugs, including naturally occurring compounds, for new disease applications, moving them efficiently and safely into new human trials, developing new formulations and seeking new regulatory approvals in global markets.
Algernon specifically investigates compounds that have never been approved in the US or Europe to avoid off label prescription writing.
Contact the author at jon.hopkins@proactiveinvestors.com