- Thorney Investment Group has increased its holding in medicinal cannabis company Zelira Therapeutics (ZLD)
- To boost its stake, Thorney participated in a $2 million private placement
- Now, with over 37 million new shares to its name, Thorney has a 5.2 per cent interest in Zelira — cementing its status as a substantial holder
- Meanwhile, Zeilra says the funds raised under the private placement will be used to fast-track the commercialisation of its product pipeline
- On the back of the news, Zelira shares have spiked 1.59 per cent in early trade, worth 6.4 cents each
Medical cannabis company Zelira Therapeutics (ZLD) has a new substantial holder after Thorney Investment Group made a $2 million strategic investment.
Under a private placement, the healthcare company issued over 37 million new shares — priced at 5.4 cents each — to Thorney, which increased its holding to a 5.2 per cent stake.
Zeilra says the funds raised under the placement will be used to fast-track the commercialisation of its product pipeline
In addition, subject to shareholder approval, Zelira will issue Thorney a one-for-one free attaching unquoted option, exercisable at seven cents each, which will expire two years from the date of issue.
“While the global medicinal cannabinoid sector has many entrants, we believe Zelira is well placed with its life science approach to take advantage of multiple opportunities in multiple jurisdictions,” Thorney Chairman Alex Waislitz said.
“The strategic focus on intellectual property protection, together with its capital light business model we believe positions the company strongly as it commences revenue generation,” he added.
Zelira’s Chairman, Osagie Imasogie, is pleased to have Thorney has a substantial investor in the company.
“With a strong balance sheet and a supportive strategic partner, Zelira is well positioned to accelerate its path to commercialisation in global markets,” he said.
Last week, the company launched its proprietary cannabinoid medicine, Zenivol, in Australia.
On the back of the news, Zelira shares have spiked 1.59 per cent in early trade, worth 6.4 cents each at 10:48 am AEST.