- Vaxil Bio (TSXV:VXL) has announced a brokered private placement for gross proceeds of up to C$3 million
- The company plans to issue up to 35.2 million units at a price of 8.5 cents each
- M Partners Inc has been engaged to act as the lead agent and sole bookrunner for the placement
- The proceeds will be used to fund pre-clinical research supporting the company’s pipeline of products
- Vaxil Bio (VXL) is currently down 10 per cent and is trading at nine cents per share, with a market cap of $9.25 million
Vaxil Bio (TSXV:VXL) has announced a brokered private placement for gross proceeds of up to C$3 million.
The Israeli immunotherapy biotech company is currently focused on its novel approach to targeting significant cancer markers and infectious diseases.
Through its engagement of M Partners Inc as lead agent and sole book runner of the placement, Vaxil will issue up to 35,294,118 units at a price of 8.5 cents each. The receipt of the $3 million in gross proceeds is subject to a minimum sale of 23,529,412, or roughly $2 million.
Each unit will consist of one common share in the company, as well as one common share purchase warrant. These warrants will entitle the holder to acquire an additional common share at a price of $0.13, exercisable for a period of three years from the date of issuance.
Vaxil will also pay M Partners a cash commission of up to 7 per cent of the gross proceeds raised under the placement.
Non-transferable warrants will also be issued, equal to 7 per cent of the total number of units sold. These will be exercisable at a price of 8.5 cents over a period of three years from the date of closing.
Upon closing of the placement, Vaxil will used the proceeds to fund pre-clinical research supporting the development of its current pipeline of products. This includes its COVID-19 vaccine candidate, oncology and other infectious disease immunotherapies.
David Goren, Chairman and CEO of Vaxil Bio, said the financing comes at a critical time for the company.
“These additional funds will allow us to more aggressively advance our preclinical research program including the COVID-19 vaccine, whilst continuing to pursue our other pipeline candidates such as vaccines for other infectious diseases and our ongoing work in oncology.
“We look forward to our continued collaborations with the Tel-Aviv Medical Centre where are progressing our COVID-19 research and Ben Gurion University for their role in our oncology program,” he said.
Vaxil Bio (VXL) is currently down 10 per cent and is trading at nine cents per share at 12:37pm EDT.