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Wellnex Life Ltd (ASX:WNX) has unveiled its plans to defer a $2.95M payment to 360 Health until it lists on the London exchange in January.
Following its acquisition of topical pain relief product brand Pain Way, the cannabis-focused healthcare stock has now inked a deal with vendors 365 Health.
Instead of paying $2.95M in late October, it’s deferred that payment through to January 20, 2025. This Wellnex intends to align with its planned listing on the London Stock Exchange.
The move echoes, somewhat, that of Telix (ASX:TLX) earlier this year, which intended to list on the NASDAQ, got most of the way there, then pulled its plans to do so.
Hopefully Wellnex can have more luck. It’s set to publish a prospectus for the LSE later this month.
The company reiterated its rationale on Tuesday:
“Listing on the LSE Main Board is being pursued to aid the Company’s retirement of all debts, including the deferred consideration and convertible notes, accelerate our international expansion and be able to access UK based institutional and sophisticated investors.”
In between the lines – the company needs more liquidity. It’s more or less hinging on the LSE listing to pay its consideration to 365 Health; it finished the September quarter with $300,000 in cash.
WNX last traded at 66.5cps.
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