- THC Global (THC) has completed a strategic placement, resulting in a $2.75 million cash injection by a strategic investment partner
- 11 million shares were issued to the partner at 25 cents, representing a 7.3 per cent discount to the last closing price of 27 cents
- THC will use the money to advance the Medimar platform, expand its manufacturing capability, and for general working capital
- Once it’s launched in January, Medimar will be an end-to-end eCommerce platform for the ordering and dispensing of medical cannabis in Australia
- It will reduce workload, increase the volume of sales, and enable bulk purchasing
- Shares in THC are down 5.56 per cent and are currently trading at 25.5 cents
THC Global (THC) has completed a strategic placement, resulting in a $2.75 million cash injection by a strategic investment partner.
The company entered a trading halt only yesterday but did not disclose how much it intended to raise or what the funds would be used for.
11 million shares were issued to the partner at 25 cents, representing a 7.3 per cent discount to last closing price of 27 cents.
THC will use the money to advance the Medimar platform, expand its manufacturing capability, and for general working capital.
Once it’s launched in January, Medimar will be an end-to-end eCommerce platform for ordering and dispensing medical cannabis in Australia.
It will use THC’s Southport Facility, which is the largest bio-floral extraction facility in the Southern Hemisphere.
Medimar will reduce admin workload, streamline the application process for medicinal cannabis products, increase the volume of sales, and enable bulk purchasing.
“Following attracting a strategic investment partner into the company, we have an increased confidence in the commercial value of the Medimar Platform, and the ability for the company to monetise its core manufacturing assets based on the new corporate strategy developed and put in place by this new management team,” Group CEO Jarrod White said.
“Moving away from being an own-brand manufacturer and opening the company up to global contract manufacture opportunities in the cannabis sector combined with launching a new platform for medicinal cannabis medicines access in Australia will see the company utilise its significant production capacity far more over 2021,” he added.
Shares in THC are down 5.56 per cent and are trading at 25.5 cents at 1:10 pm AEDT.