Join our daily newsletter At The Bell to receive exclusive market insights
- Zelira Therapeutics (ZLD) calls a two-day trading halt as it gears up to raise some fresh funds
- The company is yet to announce how much it plans to raise or for what it will use the funding boost
- Taking a look at Zelira’s latest financial report, the company had around $5 million left in the bank after posting a net cashflow-negative result of $1.5 million over June quarter
- Zelira is busy develop a pipeline of cannabinoid-based products designed to treat a range of conditions including insomnia, autism, and chronic non-cancer pains
- Shares in Zelira Therapeutics last traded for 3.9 cents each on Monday, October 18
Medicinal cannabis company Zelira Therapeutics (ZLD) called a two-day trading halt this morning as it gears up to raise some fresh funds.
The company is yet to announce how much it plans to raise or for what it will use the funding boost, but Zelira said it was planning a placement in a subsidiary as part of the cap raise.
The details of the raise are slated for release on Thursday, October 21, though there’s a chance the company will release the news before then and end the trading halt early.
Taking a look at Zelira’s latest financial report, the biopharma company had just shy of $5 million left in the bank after posting a net cashflow-negative result of $1.5 million over the three months to the end of June.
At this level of spending, this meant Zelira’s cash runway would last until the end of the March quarter in 2022.
As such, whether the upcoming capital raise is a simple cash booster for Zelira or if something bigger is in the works for the company is uncertain at this stage.
The company is yet to release its financial results for the September quarter of 2021.
Zelira is busy developing a pipeline of cannabinoid-based products designed to treat a range of conditions including insomnia, autism, and chronic non-cancer pains.
Two of the company’s products are available in Australia and some US states. These products include the Zenivol medication, which is designed to treat chronic insomnia, and the SpinjeneCBD cannabinoid-based toothpaste sold as part of the Zelira Oral Care subsidiary.
Shares in Zelira Therapeutics last traded for 3.9 cents each on Monday, October 18. The company has a $43 million market cap.
