Auxly Cannabis (TSX: XLY) this morning announced that it is raising further funds. The firm has entered into an arrangement with ATB Capital Markets and Cantor Fitzgerald Canada to raise $15.0 million in a bought deal financing.
The transaction will see the sale of 47.6 million units of the company, at a price of $0.315 per unit. Each unit is to contain one common share and one half of a common share purchase warrant. Each full warrant is valid for a period of the years from the date of issuance, and contains an exercise price of $0.38 per common share.
A 15% over-allotment option has been granted in connection with the financing.
Proceeds from the financing are to be used for strategic growth initiatives, which includes expanding its product portfolio, as well as general corporate purposes.
The financing is currently slated to close the week of June 14.
Auxly Cannabis last traded at $0.34 on the TSX.
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