Cellmid Ltd (ASX:CDY) is offering shareholders the opportunity to subscribe for shares under a $1 million share purchase plan (SPP) at an issue price of 22 cents following a successful placement that raised $6 million.
The SPP is offered to shareholders who at the record date of 7pm (Sydney time) on April 6 had a registered address in Australia or New Zealand.
The 22 cents issue price is a 33.85% discount to the volume average market price of shares traded on ASX in the five days up to the close of trading on April 1, which is the same price offered under the placement completed on April 7.
Funds to roll out COVID-19 test
Proceeds from the placement and SPP will be used to fund the roll-out of the Wondfo Biotech manufactured COVID-19 diagnostic test as well as for general working capital.
This will enable eligible shareholders, regardless of the number of shares they hold in the company, to subscribe for their choice of any one of the following parcels of shares:
- 9091 shares for the total amount of A$2000.02;
- 22,727 shares for the total amount of A$4,999.94;
- 45,455 shares for the total amount of A$10,000.10;
- 68,182 shares for the total amount of A$15,000.04;
- 90,909 shares for the total amount of A$19,999.98;
- 113,636 shares for the total amount of A$24,999.92; and
- 136,363 shares for the total amount of A$29,999.86.
However, eligible shareholders who participated in the company’s SPP in October 2019 cannot subscribe for more than a combined $30,000 in shares across both the 2019 SPP and this SPP.
First shipment received
Cellmid this week received its first shipment of 12,000 Wondfo Biotech SARS-CoV-2 rapid diagnostic tests in Sydney.
This point of care test (POCT) detects antibodies to the SARS-CoV-2, which is the virus causing COVID-19.
The presence of antibodies to SARS-CoV-2 confirms exposure and is likely to convey immunity to COVID-19.
Cellmid expects the Wondfo POCT to be largely used to facilitate return to work programs.
The current shipment is intended to be sold to medical practitioners subject to the completion of internal testing.
A limited number of tests will be held for external testing and research purposes.
Several hundred enquiries and expressions of interest have been received by Cellmid to supply the Wondfo POCT to medical practitioners, hospitals and research groups.
The company is evaluating these requests and will be completing confirmatory testing in preparation for placing its second order with the manufacturer.