Khiron to Raise $25 Million Selling Shares at $2.90

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

TORONTO, May 6, 2019 /CNW/ – Khiron Life Sciences Corp. (“Khiron” or the “Company”) (TSXV: KHRN), (OTCQB: KHRNF), (Frankfurt: A2JMZC), 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 (together, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, 8,621,000 common shares of the Company (“Common Shares”), 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 (the “Issue Price”) for gross proceeds of $25,000,900 (the “Offering”).

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.

In connection with the Offering the Company has agreed to pay the Underwriters a cash commission equal to 6.0% of the gross proceeds raised from the Offering (including on any exercise of the Over-Allotment Option), and non-transferable compensation options equal to 6.0% of the Common Shares sold under the Offering. Each compensation option will be exercisable at the Issue Price to acquire one Common Share for a period of 24 months following the closing of the Offering.

The closing date of the Offering is scheduled to be on or about May 28, 2019 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange (“TSXV”) and the applicable securities regulatory authorities.

The common shares subject to the Offering have not been and will not be registered under the U.S. Securities Act of 1933, as amended, (the “U.S. Securities Act”) and may not be offered or sold in the United States absent registration under or an applicable exemption from the registration requirements of the U.S. Securities Act. This press release does not constitute an offer to sell or the solicitation of an offer to buy the shares herein described, and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.

About Khiron Life Sciences Corp.

Khiron Life Sciences Corp is positioned to be the dominant integrated cannabis company in Latin America. Khiron has core operations in Latin America and is fully licensed in the country for the cultivation, production, domestic distribution, and international export of both THC tetrahydrocannabinol (THC) and cannabidiol (CBD) medical cannabis. In May 2018, Khiron listed on the TSXV, becoming the first Colombian-based medical cannabis company to trade on any exchange globally.

With a focused regional strategy and patient-oriented approach, the Company combines global scientific expertise, agricultural advantages, branded product market entrance experience and education to drive prescription and brand loyalty to address priority medical conditions such as chronic pain, epilepsy, depression and anxiety in the Latin American market of over 620 million people. The Company is led by Co-founder and Chief Executive Officer, Alvaro Torres, together with an experienced executive team, and a knowledgeable Board of Directors that includes former President of Mexico, Vicente Fox.

Further information on Khiron can be found at https://investors.khiron.ca/

To be added to the distribution list, please email khiron@kcsa.com with “Khiron” in the subject line.

Original press release

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Published by NCV Newswire
NCV Newswire
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