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- Biotech company Next Science (NXS) has received firm commitments to undertake an $8 million placement
- The company has also received a firm commitment for an additional placement of $2 million to major shareholder Lang Walker, however, this is subject to shareholder approval
- Next Science has announced it will be undertaking a $5 million share purchase plan, allowing eligible shareholders to apply for up to $30,000 worth of new shares
- The company will use the money to provide working capital to support the launch of its XPerience Surgical Rinse in the U.S., and other commercialisation activities
- Next Science is down 3.41 per cent and shares are trading for $1.28 each just before market close
Next Science (NXS) has received firm commitments to undertake an $8 million placement.
The company entered a trading halt only yesterday in regards to a capital raise but did not disclose how much it would be raising.
The placement
Under the placement, shares will be issued to institutional and sophisticated investors at $1.20 each.
This price represents a nine per cent discount to Next Science’s closing price of $1.32 on September 15, and a 6.25 per cent discount to the five-day volume weighted average price.
Shares are expected to settle on or around September 23, be allocated on September 24, and begin trading on the ASX on September 25.
Next Science has also received a firm commitment for an additional placement of $2 million to major shareholder Lang Walker, however, this is subject to shareholder approval.
The share purchase plan
Next Science has also announced it will be undertaking a $5 million share purchase plan which allows eligible shareholders to apply for up to $30,000 worth of new shares.
If the plan is oversubscribed then it will be sacred back at Next Science’s absolute discretion.
The share purchase plan will open on September 25 and close on October 9. Shares will then be issued on October 19 and begin trading on the ASX on October 20.
Next Science will use the money to provide working capital to support the launch of its XPerience Surgical Rinse in the U.S., and other commercialisation activities.
“We are delighted with the strong level of support for the placement and would like to thank our existing shareholders for their continued support and we welcome new shareholders to our register,” Managing Director Judith Mitchell said.
“With the process of this raise, we will be well placed to capitalise on the significant market opportunity offered by our XPerience Surgical Rinse and the other applications of our biotechnology,” she added.
Next Science is down 3.41 per cent and shares are trading for $1.28 each at 4:10 pm AEST.
