- Lexaria Bioscience Corp. (LEXX, Financial) has announced a $2 million registered direct offering of common stock at $1.00 per share.
- The offering is expected to close on or about April 28, 2025, and is facilitated by H.C. Wainwright & Co.
- Proceeds will be used for working capital and general corporate purposes.
Lexaria Bioscience Corp. (NASDAQ: LEXX), a leader in developing innovative drug delivery platforms, has entered into a definitive agreement with a single institutional investor for a registered direct offering of common stock. This offering involves the sale of 2,000,000 shares at $1.00 per share, summing up to $2 million in gross proceeds. The offering is anticipated to close around April 28, 2025, subject to customary closing conditions, with H.C. Wainwright & Co. acting as the exclusive placement agent.
The company plans to use the net proceeds from the offering, after deducting fees and expenses, primarily for working capital and general corporate purposes. Lexaria's common stock will be issued under an effective shelf registration statement on Form S-3, with accompanying final prospectus supplement and prospectus to be filed with the SEC. These documents will be available on the SEC's website once filed.
The shares have been priced at a 41% discount to the current market price, reflecting challenging conditions in capital raising and potential dilution for existing shareholders. The offering is significant given Lexaria's current market cap of approximately $24.6 million, representing a substantial portion of the company’s equity being offered at a discounted valuation.
For more information, investors are encouraged to visit Lexaria's website or contact their investor relations department.
