Khiron Life Sciences Enters into $25 Million Bought Deal Equity Financing

Published: May 8, 2019

Khiron Life Sciences Corp., a medical cannabis company with core operations in Latin America, announced today that it has entered into an agreement with Canaccord Genuity Corp. and BMO Capital Markets as co-lead underwriters and joint bookrunners, on behalf of a syndicate of underwriters, pursuant to which the Underwriters have agreed to purchase, 8,621,000 common shares of the Company, on a “bought deal” basis pursuant to a short form prospectus offering, subject to all required regulatory approvals, at a price per Common Share of $2.90 for gross proceeds of $25,000,900.

The Company has also granted the Underwriters an over-allotment option (the “Over-Allotment Option”) to purchase up to an additional 15% of the Common Shares at the Issue Price at any time on or prior to the date that is 30 days following the closing of the Offering. If this option is exercised in full, the Company will receive an additional $3,750,135 in gross proceeds for total aggregate gross proceeds of $28,751,035. The Company intends to use the net proceeds of the Offering to expand the Company’s operating capacity and for working capital requirements and other general corporate purposes.