Lobe Sciences Ltd (CSE:LOBE, OTCQB:LOBED) said it has closed a non-brokered private placement of units for gross proceeds of more than $1.3 million that the company plans to put towards advancing human trials of its novel psilocin analogs.
The offering consisted of over 28.2 million units priced at $0.05 each. Each unit consists of one common share and one common share purchase warrant, with whole warrants entitling holders to purchase an additional share at a price of $0.05.
"We are extremely pleased to close this financing and are thankful for the support and confidence of our investors who join us in seeing the potential of our clinical development plan,” CEO Phillip Young said in a statement.
READ: Lobe Sciences inks US$1.5M investment agreement to fund Australian clinical trials
Proceeds from the offering are expected to be used for manufacturing and regulatory activities necessary to support initial human clinical trials with novel psilocin analogs L-130 and L-131, as well as general working capital purposes, and marketing.
These treatments are designed to target neurologic conditions such as severe anxiety, Post Traumatic Stress Disorder (PTSD), as well as other brain traumas.
“This funding combined with the entering into of the recently announced convertible notes of up to $1.5M with Cantheon Capital will enable us to execute our plan to advance our proprietary psilocin compounds into human clinical trials," Young said.
Lobe Sciences is a life sciences company engaged in drug research and development using psychedelic compounds and the development of innovative devices and delivery mechanisms to improve mental health and wellness.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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