Mind Medicine (NEO: MMED) continues to take investor dollars, this morning announcing a bought deal private placement for $25.0 million. The financing is to be lead by Canaccord Genuity, whom will act as lead underwriter on the transaction. The placement follows a financing conducted in October, also for $25.0 million.
The latest round of cash collection will see units sold at a price of $1.90 per unit, with a total of 13,150,000 units of the company to be sold. Each unit will consist of one subordinate voting share and one half of a warrant to purchase a subordinate voting share at a price of $2.45 per share for a period of three years from the date of issue.
A warrant acceleration clause is also present on the financing, with the company eligible to accelerate the expiry of the warrants should the price of the firms subordinate voting shares exceed $4.00 on a volume weighted basis for a period of 20 days.
An over-allotment option also exists on the financing, enabling the underwriters to purchase an additional 1,973,700 units of the company for thirty days following the close of the financing.
Proceeds from the financing are to be used for the firms digital medicine division, microdosing research and development, and general working capital.
Mind Medicine last traded at $2.22 on the NEO.
Information for this briefing was found via Sedar and MindMed. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
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