Proactive Investors - Run By Investors For Investors

AusCann Group to open $8 million share purchase plan this week

The SPP demonstrates that the company is willing to reward loyal shareholders.
stethoscope and medical cannabis leaf
The SPP follows a recent successful $33.4 million placement priced at $1.10

AusCann Group Holdings Ltd (ASX:AC8) is set to open a share purchase plan (SPP) raising up to $8 million by offering shares priced at $1.05.

The SPP follows the recent share placement which raised $33.4 million in new funding for the company.

READ: AusCann Group secures $33.4 million to fund ambitious medicinal cannabis future

The SPP will open this Thursday and eligible shareholders as of the record date of last Friday will be able to apply for up to $15,000 worth of new shares, subject to scale back.

Table 1: Indicative SPP timetable

AusCann’s managing director Elaine Darby said: “We are very pleased to offer existing shareholders the opportunity to participate in the evolution of AusCann.

“The capital we secure from this raising, along with funds raised under AusCann's recent placement, will enable us to accelerate our corporate objectives and provide Australian and global markets with efficacious, clinically validated and cost-effective medicinal cannabis products.”

Funding applied to multiple fronts

It is intended that funds raised under the SPP will be used as follows:

• Clinical studies for product registration in Australia;
• Expansion of an Australian manufacturing plant for final dose form manufacturing;
• Establishment of a manufacturing facility in Chile;
• Establishment medical outreach programs in new international markets;
• Research and development of cannabinoid pharmaceuticals; and
• Costs of the offer and general working capital requirements.

Join Proactive’s Crypto, Blockchain and Cannabis Telegram group here
View full AC8 profile View Profile

AusCann Group Holdings Ltd Timeline

Related Articles

Woman holding cannabis leaf
October 16 2018
Canadian subsidiary Crystal Mountain is expanding its range of hydroponics equipment to meet expected demand.
A visual representation of a drug candidate working in a dog
January 29 2019
The company has reaffirmed its upcoming milestones as it confirmed December quarter achievements.
1540909388_Marijuana-stethoscope.jpg
October 31 2018
The firm wants to become the first publicly listed, globally focused, pure cannabis company

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use