Willow Biosciences Inc (TSE:WLLW) (OTCQX:CANSF) has closed its previously announced upsized public offering of C$11.5 million, which the company plans to use for the commercialization of cannabigerol (CBG) and other portfolio cannabinoids.
The company offered roughly 17.7 million units, each containing one share and one half a purchase warrant, at a price of C$0.65 per unit. This includes 2.3 million units issued due to the exercising of an over-allotment option.
Each warrant entitles its holder to acquire a common share at a price of C$0.85 for two years. Should the company's stock trade above C$1.20 on the Toronto Stock Exchange for 10 consecutive trading days, Willow can move up the expiry date, with notice.
The warrants will be listed and posted for trading on the TSX under the symbol WLLW.WR on Thursday.
Willow paid a syndicate of agents including ATB Capital Markets Inc, Canaccord Genuity Corp and Eight Capital a cash commission equal to 3% of the gross proceeds of the offering received from investors included by the company on a president's list and 6.0% of the remaining gross proceeds. The company also issued the Agents 474,324 common share purchase warrants, which are exercisable at C$0.85 for a period of one year.
Vancouver-based Willow has developed a proprietary process to produce high purity, plant-derived CBG and CBD compounds for the global pharmaceutical, health and wellness, and consumer packaged goods industries.
In addition to commercialization, proceeds will go towards general administrative expenses, working capital and other corporate purposes.
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