Financing closed @ $0.25 NUMINUS ANNOUNCES CLOSING OF OVERSUBSCRIBED $4.6 MILLION OFFERING
Numinus Wellness Inc. has closed its previously announced short form prospectus offering, on a best efforts basis, including the exercise of the agent's option in its entirety in the form of units of the company. A total of 18.4 million units of the company at a price per unit of 25 cents were sold for aggregate gross proceeds of $4.6-million. The offering was conducted by Mackie Research Capital Corp.
Each Unit is comprised of one common share of the Company and one-half of one Common Share purchase warrant. Each Warrant entitles the holder to purchase one Common Share for a period of 24 months following the closing of the Offering at an exercise price of $0.35.
Payton Nyquvest, founder, chief executive officer and chair, stated: "We are very pleased with the strong response leading to the oversubscribed close, particularly in this tough market environment. We would like to thank all our investors for placing their confidence in us." Nyquvest added, "Our team is excited to accelerate the initiatives outlined in our prospectus as we believe our plans will ultimately deliver great value to not only those who are in such need of alternative transformative mental health solutions, but also to our shareholders."
In consideration for its services, the Company paid the Agent a cash commission equal to 6% of the gross proceeds of the Offering, a cash advisory fee equal to 2% of the gross proceeds of the Offering and issued to the Agent compensation options and advisory compensation options to acquire up to an aggregate of 1,472,000 Units at a price of $0.25 for a period of 24 months from Closing.
The Company intends to use the net proceeds of the Offering for MDMA and psilocybin Compassionate Access protocol implementation to make these drugs accessible to specific patient groups before they are available on the market. As per Health Canada's Special Access Programme for Drugs Guidance Document, "where possible, open label or compassionate access trials should be incorporated into drug development plans to meet the needs of patients not eligible for enrollment in other pivotal trials." Additional funds will be used to secure therapy space and develop psychedelic integrative treatment models, support upgrades to its Lab infrastructure to support its Health Canada licences, and for general operating expenses.