The company will also undertake an offer of shares to eligible existing shareholders under a priority offer to raise up to an additional $1 million at the same issue price.
MGC Pharma has engaged Canaccord Genuity in Australia to act as the company’s equity capital markets advisor, and in the UK to lead the company’s planned dual-listing on the London Stock Exchange (LSE).
During 2019, MGC Pharma has materially advanced its dual-listing strategy with Canaccord, and is actively progressing towards a listing on the LSE in 2HCY2019.
Following the introduction of medicinal cannabis legislation in November 2018 in the UK, MGC Pharma is positioned to be one of the first medicinal cannabis companies to be listing on the LSE or any major exchange in the United Kingdom.
“Fast growing medicinal cannabis market”
MGC Pharma co-founder and managing director Roby Zomer said: “The level of interest from new and existing investors in MGC Pharma is a testament to the opportunity that our businesses offers investors in providing exposure to the fast growing medicinal cannabis market and our unique ‘seed to pharmacy’ strategy.”
Up to $5.75 million to be raised through the placement and priority offer will be used to fund the company’s ongoing operations for productions and sales of pharmaceutical grade cannabinoid derived medicines.
Zomer added: “We have had an incredible busy period of late where we have rapidly advanced the business, delivering material results through ground-breaking research and development and managing capabilities.”