- Clinical-stage cell therapy company Chimeric Therapeutics (CHM) enters a $30 million equity placement agreement with L1 Capital
- The placement consists of the issue of an initial $500,000 worth of ordinary shares and 15 million unlisted options exercisable at 25.5 cents and expiring on March 31, 2024
- The remaining funds will be issued under further share placements over a two-year period, but each one is subject to CHM having the capacity to issue the relevant shares
- The funds will strengthen Chimeric’s balance sheet as the company moves forward with four phase one clinical trials
- Chimeric is up 9.52 per cent on the market with shares trading at 11.5 cents at 11:39 am AEST
Clinical-stage cell therapy company Chimeric Therapeutics (CHM) has entered a $30 million equity placement agreement with L1 Capital.
The placement consists of the issue of an initial $500,000 worth of ordinary shares issued at 10 cents each and 15 million unlisted options exercisable at 25.5 cents and expiring on March 31, 2024.
The remaining funds will be issued under further share placements over a two-year period.
Each placement is subject to, and conditional upon, Chimeric having the available capacity to issue the relevant shares or shareholder approval.
The placement agreement allows Chimeric to maintain flexibility and enables it to undertake future capital raisings outside of the placement agreement.
The funds will strengthen Chimeric’s balance sheet as the company moves forward with four phase one clinical trials.
“L1’s commitment is testament to the quality of the company’s clinical assets, having completed significant due diligence via their specialist medical consultant based in Israel prior to executing the placement agreement,” Executive Chairman Paul Hooper said.
“With our strong existing cash reserves following the completion of the recent entitlement
offer and the flexibility this placement agreement provides, we are in a very solid position to exercise our clinical development plan with even greater confidence.”
Chimeric was up 9.52 per cent on the market with shares trading at 11.5 cents at 11:39 am AEST.