Argent BioPharma Limited (ASX:RGT), an innovative multidisciplinary drug discovery company within the biopharmaceutical sector, has announced it has received firm commitments from a professional investor to raise US$500,000 through the issue of 625,000 fully paid ordinary shares at US$0.80 (~A$1.20) per share. The placement participant, an unrelated party to the Company, will also be issued one (1) free attaching warrant for every two (2) Placement Shares subscribed for. The Warrants will be exercisable at US$1.20 (~A$1.80) each, expiring 3 years from the issue date.
Proceeds from the Placement will be used to continue the Company’s drug development pipeline, including CannEpil® and CimetrA®.
The Placement Shares and Warrants are to be issued under the Company’s existing Placement capacity in accordance with ASX listing Rule 7.1 and 7.1A as followed: LR7.1 – 312,500 Warrants, LR7.1A – 625,000 Placement Shares.
The issue price of US$0.80 (~A$1.20) per Placement share under the Placement represents approximately a 400% premium to the 15-day VWAP of A$0.30 prior to the stock being placed in a Trading Halt on 28 June 2024.
Argent BioPharma’s Chief Executive Officer and Managing Director, Roby Zomer, commented: “We are delighted by the strong support from our newest investor, as reflected in the substantial premium to the current trading price. This raise will allow the Company to continue the development of our key drug candidates, CannEpil® and CimetrA®. Our new investor’s confidence underscores our pipeline’s potential and our commitment to advancing innovative treatments for unmet medical needs, in the biopharmaceutical space.”
Total voting rights
On issue of the Fundraising Shares, the Company will have 45,905,202 Ordinary Shares in issue, each with one voting right. Therefore, the Company’s total number of Ordinary Shares in issue and voting rights will be 45,905,202 and this figure may be used by shareholders from issue of the Placing Shares as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA’s Disclosure Guidance and Transparency Rules.
