Avicanna Inc (TSX:AVCN, OTCQX:AVCNF) said it has closed a strategic non-brokered private placement offering of 7,949,433 units of the company at a price of $0.35 per unit for aggregate gross proceeds of approximately $2.782 million.
The company said it intends to use the proceeds from the offering for general working capital purposes, general and administrative expenses, expenditures related to production and manufacturing, research and clinical development.
Each unit in the offering is comprised of one common share in the capital of the company and one-half of one common share purchase warrant. Each whole warrant shall entitle the holder to acquire one common share at an exercise price of $0.40 per share, subject to adjustment in certain events, for a period of 36 months.
READ: Avicanna highlights 101% year-on-year increase in revenue for the six months to June 30, 2022
The unit shares, warrants, and any securities issuable upon conversion or exercise thereof, are subject to a four-month hold period under applicable securities laws in Canada.
The offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange.
Avicanna is a commercial-stage international biopharmaceutical company focused on the advancement and commercialization of evidence-based cannabinoid-based products for the global medical and pharmaceutical market segments.
The company has an established scientific platform including R&D and clinical development that has led to the commercialization of more than thirty products across various market segments.
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