InnoCan Pharma Corporation (CSE:INNO) announced Tuesday that it amended terms to its previously announced potential C$10 million offering, through which the company expects to fund research and development, marketing and operations expenses.
The company will offer units, each containing one common share and one purchase warrant, at a new price of C$0.18 per unit, shifted from C$0.20. The move is expected to fetch gross proceeds of at least C$2.5 million and up to C$10 million.
The warrants are exercisable at a price of C$0.25 per share for a period of 36 months, the company said. Innocan can accelerate that date with written notice if its stock trades above C$0.50 per share for 20 consecutive trading days.
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Innocan Pharma is a specialty pharma, which develops products that harness the properties of cannabinoids combined with smart delivery formulations.
The offer is being led by Mackie Research Capital, as sole bookrunner, and Canaccord Genuity as co-lead agents, together with Haywood Securities Inc and PI Financial Corp.
InnoCan has also granted its agents an option to cover over-allotments and for market stabilization purposes, exercisable in whole or in part at any time up to 30 days from the closing, to increase the size of the offering by up to 15% of the number of units sold.
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