LISTED pharmaceutical cannabis company AusCann has announced it has raised $33.4 million via a share placement to institutional and sophisticated investors from North America and Australia.
Among the investors was AusCann’s major shareholder, Canopy Growth Corporation, which increases its ownership in AusCann to 11.2% following the completion of the placement.
AusCann said it will use the proceeds of the placement to fund cannabinoid pharmaceutical research and development and clinical studies, expansion of its operations in Chile and Australia, medical outreach programs in new international markets and more.
Following the placement, the company intends to undertake a Share Purchase Plan (SPP) to eligible existing shareholders to raise up to $8 million.
Settlement is planned for around 12 Jul 2018 – see asx.com.au.