Pascal Biosciences arranges $1-million placement at 0.20¢ 2020-11-02 06:56 ET - News Release
Dr. Patrick Gray reports
PASCAL ANNOUNCES NON-BROKERED PRIVATE PLACEMENT
Pascal Biosciences Inc. has arranged a non-brokered private placement of up to five million units at a price of 20 cents per unit for gross proceeds of up to $1-million. Each unit will consist of one common share and one common share purchase warrant. Each warrant entitles the holder to purchase one additional common share of the company at a price of 35 cents per share for a period of 12 months from the date of closing, subject to an exercise acceleration clause. Under the exercise acceleration clause, which the company may exercise once the units are free of resale restrictions and if the company's shares are trading at or above a volume-weighted average price of 50 cents for 10 consecutive trading days, the warrants will expire upon 30 days from the date the company provides notice in writing to the warrant holders via a news release.
Certain directors and officers of the company intend to acquire the units under the private placement. Any such participation would be considered to be a related-party transaction as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions. The transaction will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of any shares issued to, or the consideration paid by such persons, will exceed 25 per cent of the company's market capitalization.
The proceeds from the sale of units will be added to working capital in furtherance of the company's business. The securities to be issued under the placement will be subject to a four-month hold period and the private placement is subject to the acceptance of the TSX Venture Exchange.
About Pascal Biosciences Inc.
Pascal is a biotechnology company, targeting innovative therapies for serious diseases, including COVID-19. Pascal is also developing treatments for cancer with targeted therapies for acute lymphoblastic leukemia and cannabinoid-based therapeutics. Pascal's leading portfolio also comprises a small-molecule therapeutic, PAS-403, that is advancing into clinical trials for the treatment of glioblastoma, and PAS-393, an immuno-stimulatory cannabinoid to be used in combination with checkpoint inhibitor therapy.