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Q BioMed launches financial restructuring plan with lead investor Yorkville Advisors

Yorkville Advisors (YA) will convert a minimum of $3.8 million into common stock and preferred stock

Q BioMed Inc. - Q BioMed Inc launches financial restructuring plan with  lead investor Yorkville Advisors Global
Also as part of the agreement, which has yet to close, YA will fund an additional $4 million in new capital over the next 2 weeks

Q BioMed Inc (OTCQB:QBIO), which has developed cancer bone pain drug Strontium89, announced Tuesday that it has launched a financial restructuring plan.  

Under the plan, the company’s lead investor Yorkville Advisors Global (YA) will convert a minimum of $3.8 million into common stock and preferred stock and may convert an additional $500,000, which would be the total debt held by them. 

And as part of the agreement, which has yet to close, YA will fund an additional $4 million in new capital over the next 2 weeks, Q BioMed said in a statement.

READ: Q BioMed boosts leadership team with regulatory expert Geoff Fatzinger

Q BioMed said the restructuring of the debt and new capital transforms its balance sheet to create significant positive shareholder equity - a requirement for a Nasdaq listing. 

In addition, the company said the new capital injection will provide enough runway to implement its full commercial plan as it brings its US Food and Drug Administration-approved Strontium89 drug to market.

“In addition to the rollout of our Strontium89 drug, this funding allows us to advance other key pipeline assets such as our infectious disease platform including a potential treatment for COVID-19, influenza and others, liver cancer therapy Uttroside B and our rare disease drug development in non-verbal autism spectrum disorders,” said Q BioMed CEO Denis Corin.

Along with the revenue expected from Strontium89 sales and the significant non-dilutive grant funding available from the Mannin platform, Q BioMed said it does not anticipate needing more capital until the first quarter of 2021, if not well beyond.

Contact the author: [email protected]

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Quick facts: Q BioMed Inc.

Price: 1.82 USD

OTCQB:QBIO
Market: OTCQB
Market Cap: $40.89 m
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Q BioMed activates its marketing campaign for its cancer bone pain drug

Q BioMed Inc (OTCQB:QBIO) Chief Commercialization Officer Kristin Keller tells Proactive the New York-based biotechnology firm has launched a marketing campaign for its non-opioid cancer bone pain drug Strontium89. Keller says the company has created a product website at Strontium89.com to...

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