logo-loader
viewZelira Therapeutics Ltd

Zelda Therapeutics banks $982,000 R&D cash ahead of Ilera Therapeutics merger vote

The tax refund will be used on the cannabinoid-based therapeutics developer’s program as it plans product roll-outs next year.

puzzle
If shareholders fit the companies together, they'll be known as Zelira Therapeutics

Zelda Therapeutics Ltd (ASX:ZLD) (FRA:G1G) (OTCMKTS:ZLDAF) has banked a $982,000 cash refund from the Australian Government for its research and development program.

The Australian-based bio-pharmaceutical company, which is developing a range of cannabinoid-based formulations for the treatment of a variety of medical conditions, received the refund under the Federal Government’s R&D Tax Incentive Scheme.

This scheme is an Australian Government program under which companies receive cash refunds for 43.5% of eligible expenditure on research and development.

Proposed merger

The funds will be used to advance Zelda's current clinical trial and pre-clinical programs and also to accelerate plans to launch products into the market following the proposed merger with Ilera Therapeutics Limited.

The company, led by executive chairman and co-founder Harry Karelis and managing director Dr Richard Hopkins, hopes to become a medicinal cannabis sector “disruptor” with its proposed merger with privately-held US-based Ilera.

This combined entity would be called Zelira Therapeutics if shareholders agreed to the all-scrip transaction on November 28, 2019, and any sale conditions were met.

Development products from the combined entity would be expected to hit the market from 2020.

HOPEs deliver

Pennsylvania-based Ilera has revenues from a number of HOPE brand cannabis formulations already launched in the US state.

The proposed buy-up can market the products in other US states and markets outside the North American country.

Zelda expects a Zelira dermatology subsidiary would also produce dermatology products created by board-certified cosmetic dermatologist Dr Karyn Grossman for the retail and cannabis regulated markets following the merger.

A merger of Zelda and Ilera is likely to be completed by mid-December 2019 if Zelda shareholders agree at an upcoming shareholder vote this month.

Zelda Therapeutics will hold its annual general meeting in Western Australia at Blackwall Legal at 140 St Georges Terrace, Perth on November 28, 2019 at 10am Western Standard Time (1pm EDST).

Quick facts: Zelira Therapeutics Ltd

Price: 0.063 AUD

ASX:ZLD
Market: ASX
Market Cap: $47.81 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Zelira Therapeutics Ltd named herein, including the promotion by the Company of Zelira Therapeutics Ltd in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Ilera Healthcare deal is 'one piece of the puzzle' for Zelda Therapeutics in...

Zelda Therapeutics Ltd (ASX:ZLD, OTCBB:ZLDAF) managing director Dr Richard Hopkins speaks to Proactive Investors about the medical cannabis researcher's binding heads of agreement (HoA) with US-based medicinal cannabis company Ilera Healthcare LLC. The deal complements a number of...

on 03/12/2019

2 min read