- Zelira Therapeutics (ZLD) raises US$5 million (around A$6.68) from US family office fund, Quincy Street Capital
- Quincy Street has now become a substantial shareholder in Zelira with a 6.3 per cent stake
- Funds from the raise will be used to speed up the company’s growth initiatives
- Zelira is up 20.5 per cent and is trading at 4.7 cents per share at 12:52 pm AEDT
Zelira Therapeutics (ZLD) has raised US$5 million (around A$6.68) from US family office fund, Quincy Street Capital.
The funding included US$3.5 million (about A$4.68 million) via a placement, nearly 40 million unlisted options and US$1.5 million (approx. A$2 million) via an equity investment in Ilera Derm.
Under the placement, Quincy purchased around 79.9 million shares at six cents each.
Following this funding, Quincy Street has become a substantial shareholder in Zelira with a 6.3 per cent stake.
Funds from the raise will be used to speed up the company’s growth initiatives. This includes clinical development and ongoing trials in Australia and US, additional licensing for Zelira Rx product and commercialisation of RAF FIVE.
Recently, the company launched its first product line, RAF FIVE, through its dermatology subsidiary, Ilera Derm.
The product line includes a mix of acne treatment and sunscreen, and known skin-boosting ingredients such as peptides and hyaluronic acid.
Zelira’s Founder and Chairman, Osagie Imasogie, is pleased to welcome Quincy Street as a new shareholder.
“This capital raise, undertaken at a substantial premium to the current trading price, is a strong signal of the fundamental value this sophisticated and experienced investor sees in our scientifically based cannabinoid products that are already in market and coming to
market, as well as our growing biopharmaceutical portfolio,” he said.
“We have an ambitious product development and sales growth strategy that we are executing on. The funds raised have not only introduced a new US-based fund onto Zelira’s register, but more importantly, provide us with the capital to more aggressively roll out our growth strategy with a target of reaching financial breakeven by the end of next calendar year.”
Zelira was up 20.5 per cent and is trading at 4.7 cents per share at 12:52 pm AEDT.