Cybin Inc (NEO: CYBN) this morning became the latest firm to take advantage of the favourable investor sentiment within the psychedelics space, with the company this morning announcing that it will look to raise $20.0 million. The financing is set to occur on a bought deal basis.
Under the terms of the financing, Cybin will look to raise proceeds at a price of $2.25 per unit, with each unit consisting of one common share and one half warrant. Each warrant is valid for a period of 3 years, with an exercise price of $3.25 per share.
An over-allot option has been issued on the financing, valid for a period of 30 days following the close of the transaction. An acceleration clause is also present on the warrant, enabling the company to accelerate the expiration of the warrant should the equity trade above $5.00 for a period of ten days on a volume weighted basis.
Net proceeds from the financing are to be used to advance clinical trials, for novel molecule programs and tech focused on the patient experience, working capital and general corporate purposes.
The financing is currently anticipated to close February 4, 2021.
Cybin Corp last traded at $2.49 on the Neo Exchange.
Information for this briefing was found via Sedar and Cybin Inc. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
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