Valeo Pharma Inc. (CSE:VPH, OTCQB:VPHIF) has told investors that its two innovative asthma therapies, Atectura Breezhaler and Enerzair Breezehaler are now reimbursed by two more Canadian provincial health authorities in what it described as a “major milestone” for the company.
The Kirkland, Quebec-headquartered company said the lists now appear on the Quebec List of Medications and the Nova Scotia Drug Formulary following the acceptance of the asthma medications by the Novia Scotia Minister of Health on December 2 and Quebec’s RAMQ (Régie de l'assurance maladie) on December 15.
It noted that public coverage in these jurisdictions also means that private payers mimicking the public plans will now cover both drugs. Therefore Enerzair and Atectura are now covered for more than 90% of privately covered lives across Canada, it added.
READ: Valeo Pharma says Redesca now has public reimbursement coverage in nine Canadian provinces
“Public reimbursement access makes a meaningful impact for asthma patients left with no coverage so far, and also simplifies health care providers' procedures to provide access of both medications to their patients,” Valeo president and chief operating officer Frederic Fasano said in a statement.
“Enerzair and Atectura are innovative asthma therapies that are helping make asthma control a more attainable goal for Canadian asthma patients,” he added.
The company also announced the retirement of Michael Wells as a member of its board of directors, effective December 15, 2021. Wells has been a valued member of Valeo’s board since 2018, it said.
“Michael’s contribution to our board of directors during the last three years has been significant and meaningful. We are thankful for his service to Valeo and wish him all the best”, said Richard J. Mackay, Valeo’s Chairman of the Board.
In addition, Valeo said it has repriced 1,336,700 warrants issued on April 27, 2021, as part of a bridge private placement of non-convertible debenture units.
The terms and conditions of the bridge warrants provide that if it completes an equity financing within 24 months from the date of issuance at a price of less than $1.60 per share, the exercise price of the bridge warrants - to the extent they have not been previously exercised - will be reduced to such lower warrant exercise price.
On June 29, 2021, Valeo announced that it closed a bought-deal public offering under which it issued 11,500,000 units at $1 each, raising gross proceeds of $11.5 million, with each unit consisting of one class A share and one share purchase warrant.
Each warrant is exercisable for 36 months into one share at the price of $1.25 per warrant share.
“As disclosed in the short-form prospectus dated June 22, 2021, the company had agreed that repricing of the bridge warrants would not occur prior to 120 days from the date of closing of the offering,” the company said.
“Effective today, the company is amending the exercise price of the bridge warrants from $1.60 per share to $1.25 per share to match the exercise price of the unit warrants.”
Valeo Pharma is dedicated to the commercialization of innovative prescription products in Canada with a focus on respirology, neurodegenerative diseases, oncology and other specialty products.
The company has the complete infrastructure to register and properly manage its growing product portfolio through all stages of commercialization.
Contact the author at stephen.gunnion@proactiveinvestors.com