- Medibio (MEB) receives firm commitments to raise $1.4 million via placement to fund its US Food and Drug Administration (FDA) application and for working capital
- The company will issue approximately 923.6 million shares at 0.15 cents over two tranches, with the offer of one free-attaching option for every one new share issued
- Additionally, Claude Solitario has resigned as CEO and Managing Director to pursue other business interests, effective today
- The search for a new CEO will commence shortly and the company confirms it will update the market in due course
- Shares in Medibio are down 33.3 per cent, trading at 0.2 cents as of 1:51 pm AEST
Medibio (MEB) has received firm commitments to raise $1.4 million via placement to fund its US Food and Drug Administration (FDA) application and for working capital.
The company will issue approximately 923.6 million shares at 0.15 cents per share, with the offer of one free-attaching option for every one new share issued.
Each new option will have an exercise price of 0.4 cents which investors may exercise any time up until the expiry date of June 15, 2027.
The placement was lead managed by CPS Capital Group who will receive a 2 per cent plus GST management fee, 4 per cent GST placement fee and be offered up to 20 million new options at $0.00001 per option.
The placement will be conducted in two tranches, which will see the company issue 359.5 million new shares in the first tranche.
Tranche 2 will issue the remaining shares, new options and up to 20 million CPS options offered will be issued, subject to shareholder approval at an extraordinary general meeting expected to be held in August.
Alongside today’s placement, the company announced Claude Solitario has resigned as CEO and Managing Director to “pursue other business interests”, effective immediately.
As a founding shareholder of Medibio, Mr Solitario will maintain a keen interest in the company.
Medibio said it will commence its search for a new CEO and update the market in due course.
If there are any funds left over from progressing the company’s FDA application, it will be used as working capital to enable the continued growth of the company’s current products alongside its future products.
Shares in Medibio were down 33.3 per cent, trading at 0.2 cents as of 1:51 pm AEST.