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Next Science (ASX:NXS) lands $10m convertible note deed with major shareholder

ASX News, Health Care
ASX:NXS      MCAP $97.71M
13 December 2022 11:36 (AEST)

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Next Science (NXS) has entered into a conditional $10 million secured convertible note deed with major shareholder Walker Group to support its 2023 plans.

The notes have a conversion price of 72 cents each and will accrue a 10 per cent interest if redeemed or five per cent interest if converted.

The issue of the notes remains subject to shareholder approval, which NXS will seek at a meeting in February 2023.

“If approved, this transaction will provide the necessary capital to allow Next Science to pursue the commercial success of all aspects of Next Science’s business as well as support our ongoing R&D program,” Managing Director Judith Mitchell said.

“That will be a great outcome for Next Science and its shareholders and the patients whose lives we are committed to improving.”

Walker Executive Chairman Lang Walker said the funding would support Next Science’s “ambitious” plans, which include the building of the durable medical equipment (DME) business and an FDA submission for an integrated BlastX/Collagen product.

“I am providing this funding because my belief in Next Science’s XBio technology is as
strong today as it was when I first invested in Next Science,” Mr Walker said.

“The DME business represents a significant commercial enterprise whose value potential is yet to be proven and factored into the share price.”

The notes mature 21 months after their issue date.

Shares in Next Science were down 4.35 per cent to 66 cents at 11:31 am AEDT.

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