Burcon Announces Rights Offering
Burcon NutraScience announces a Rights Offering to existing shareholders, allowing them to purchase one common share at $0.085 for each share held as of November 27, 2024. This represents a 39% discount to the 5-day volume weighted average trading price. The offering could raise approximately $11.9 million in net proceeds through issuing up to 142,628,096 common shares. The Rights will trade on TSX under 'BU.RT' until February 12, 2025. Insider Group, holding 28.44% of shares, intends to exercise their rights. Proceeds will fund operational costs and explore production capacity expansion opportunities through potential facility leasing.
Burcon NutraScience annuncia un'Offerta di Diritti per gli azionisti esistenti, consentendo loro di acquistare un'azione ordinaria a $0.085 per ogni azione detenuta al 27 novembre 2024. Ciò rappresenta uno sconto del 39% rispetto al prezzo medio ponderato per volume degli ultimi 5 giorni di trading. L'offerta potrebbe generare circa $11.9 milioni in proventi netti attraverso l'emissione di fino a 142.628.096 azioni ordinarie. I Diritti saranno negoziabili sul TSX con il simbolo 'BU.RT' fino al 12 febbraio 2025. Il Gruppo Insider, che detiene il 28,44% delle azioni, intende esercitare i propri diritti. I proventi saranno utilizzati per coprire i costi operativi ed esplorare opportunità di espansione della capacità produttiva attraverso possibili locazioni di strutture.
Burcon NutraScience anuncia una Oferta de Derechos para los accionistas existentes, permitiéndoles comprar una acción ordinaria a $0.085 por cada acción poseída a partir del 27 de noviembre de 2024. Esto representa un descuento del 39% respecto al precio medio ponderado por volumen de los últimos 5 días de negociación. La oferta podría recaudar aproximadamente $11.9 millones en ingresos netos mediante la emisión de hasta 142.628.096 acciones ordinarias. Los Derechos se negociarán en TSX bajo el símbolo 'BU.RT' hasta el 12 de febrero de 2025. El Grupo Insider, que posee el 28.44% de las acciones, tiene la intención de ejercer sus derechos. Los ingresos se destinarán a cubrir costos operativos y a explorar oportunidades de expansión de capacidad de producción a través de posibles arrendamientos de instalaciones.
Burcon NutraScience는 기존 주주들에게 권리 공모를 발표하여, 2024년 11월 27일 기준으로 보유한 각 주식에 대해 $0.085에 보통주 1주를 구매할 수 있도록 허용합니다. 이는 5일 거래량 가중 평균 가격에 비해 39% 할인된 것입니다. 이 공모를 통해 최대 $11.9 백만의 순수익을 확보하고 142,628,096주의 보통주를 발행할 수 있습니다. 권리는 2025년 2월 12일까지 TSX에서 'BU.RT'로 거래됩니다. 28.44%의 주식을 보유한 내부자 그룹은 권리를 행사할 계획입니다. 수익금은 운영 비용을 충당하고 시설 임대를 통한 생산 능력 확장 기회를 모색하는 데 사용될 것입니다.
Burcon NutraScience annonce une Offre de Droits pour les actionnaires existants, leur permettant d'acheter une action ordinaire à $0.085 pour chaque action détenue au 27 novembre 2024. Cela représente une réduction de 39 % par rapport au prix de négociation moyen pondéré par le volume sur les 5 derniers jours. L'offre pourrait générer environ $11.9 millions de produits nets grâce à l'émission de jusqu'à 142.628.096 actions ordinaires. Les Droits se négocieront sur le TSX sous 'BU.RT' jusqu'au 12 février 2025. Le Groupe Insider, détenant 28,44 % des actions, a l'intention d'exercer ses droits. Les produits seront utilisés pour couvrir les coûts opérationnels et explorer des opportunités d'expansion de la capacité de production via de potentielles locations d'installations.
Burcon NutraScience kündigt ein Bezugsangebot für bestehende Aktionäre an, das ihnen ermöglicht, eine Stammaktie zum Preis von $0.085 für jede am 27. November 2024 gehaltene Aktie zu kaufen. Dies entspricht einem Rabatt von 39 % auf den volumengewichteten Durchschnittspreis der letzten 5 Handelstage. Das Angebot könnte etwa $11.9 Millionen an Nettomitteln durch die Ausgabe von bis zu 142.628.096 Stammaktien einbringen. Die Rechte werden bis zum 12. Februar 2025 unter 'BU.RT' an der TSX gehandelt. Die Insider-Gruppe, die 28,44 % der Aktien hält, beabsichtigt, ihre Rechte auszuüben. Die Erlöse werden zur Deckung der Betriebskosten verwendet und die Möglichkeiten zur Erweiterung der Produktionskapazität durch mögliche Facility-Mietverträge erkundet.
- Rights offering price represents a 39% discount to market price
- Potential to raise $11.9 million in net proceeds
- Strong insider participation with 28.44% commitment
- Plans for production capacity expansion
- 100% dilution if all rights are exercised
- No minimum subscription requirement for completion
- Funds needed for ongoing operational costs indicates cash needs
Vancouver, British Columbia--(Newsfile Corp. - November 20, 2024) - Burcon NutraScience Corporation (TSX: BU) (OTCQB: BRCNF) ("Burcon" or the "Company"), a global technology leader in the development of plant-based proteins for foods and beverages, is pleased to announce that it will be offering rights (the "Rights Offering") to holders of its common shares ("Common Shares") of record at the close of business on November 27, 2024 (the "Record Date") in eligible jurisdictions. Pursuant to the Rights Offering, each holder of Common Shares will receive one transferable right (a "Right") for each Common Share held. Each Right will entitle a holder to purchase one Common Share at a price of
Virtual Investor Presentation Details
A link to the webcast of the conference call is available on Burcon's website under "Presentations" or directly here. The webcast will also be archived for future playback.
A live Q&A session will follow the formal presentation. Attendees wishing to have a question addressed at the event can submit them in advance to plam@burcon.ca.
Investors interested in participating in the live call can dial in using the details below:
Date: Wednesday November 20, 2024
Time: 5:00 p.m. Eastern time (2:00 p.m. Pacific time)
Toll-free dial-in (North America): 1-800-717-1738
Dial-in (toll/international): 1-646-307-1865
Conference ID: 64804
Further Information Regarding the Rights Offering
The estimated net proceeds of the Rights Offering, assuming full exercise of the Rights and after deducting expenses, will be approximately
A maximum of 142,628,096 Common Shares will be issued pursuant to the Rights Offering, representing
The Rights Offering will include an additional subscription privilege under which holders of Rights who fully exercise their Rights will be entitled to subscribe pro rata for additional Common Shares, if available, that were not otherwise subscribed for in the Rights Offering.
A Rights Offering notice (the "Notice"), together with a direct registration system advice representing the Rights and a rights subscription form will be mailed to registered holders of Common Shares as of the Record Date. Full details of the Rights Offering, including information regarding the distributions of the Rights and the procedures to be followed, are included in the Rights Offering circular, which will be filed today, together with the Notice, under Burcon's profile on SEDAR+ at www.sedarplus.ca.
Rights Subscription and Trading Details
To subscribe for Common Shares, a completed Rights certificate, together with payment in full of the Subscription Price for each Common Share subscribed for, must be received by the subscription agent for the Rights Offering, Computershare Investor Services Inc., prior to the expiry of the Rights at 5:00 p.m. (Eastern time) on February 12, 2025. Shareholders who own their Common Shares through an intermediary, such as a bank, trust company, securities dealer or broker, will receive materials and instructions from their intermediary.
The Rights and the Common Shares issuable upon exercise of the Rights will be listed on the TSX. The Rights will be listed for trading on the TSX beginning on November 27, 2024 under the symbol "BU.RT". Trading in the Rights on the TSX will cease at 12:00 p.m. (Eastern time) on February 12, 2025.
Insider Participation
To the knowledge of Burcon, after reasonable inquiry, all directors, senior officers and persons controlling over
Use of Proceeds
The estimated net proceeds of the Rights Offering will be used primarily to provide sufficient funds for ongoing operational costs. In addition, and as part of Burcon's capital light business strategy, the Company has begun to explore options to expand its production capacity. Burcon plans to use part of the net proceeds from the Rights Offering to conduct due diligence on and potentially negotiate for an opportunity to expand its production capacity by acquiring the rights to access a production facility. Such opportunity, if determined to be beneficial to Burcon and successfully negotiated, is anticipated to represent a commercial lease of a production facility.
The Company is also registering the offer and sale of the shares issuable on exercise of the Rights on a Form F-7 registration statement under the U.S. Securities Act of 1933, as amended. Shareholders in the United States should review the Form F-7 which will be filed with the United States Securities and Exchange Commission and when filed, can be found at www.sec.gov and may also be obtained by contacting the Corporate Secretary by email at dlaw@burcon.ca.
The completion of the Rights Offering is not subject to Burcon receiving any minimum amount of subscriptions.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein. There shall be no offer or sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the laws of any such jurisdiction.
About Burcon NutraScience Corporation
Burcon is a global technology leader in the development of plant-based proteins for foods and beverages. Our proteins exhibit superior functionality, taste and nutrition, making them ideal ingredients for food formulators. With over two decades of experience, Burcon has amassed an extensive patent portfolio covering its novel plant-based proteins derived from pea, canola, soy, hemp and sunflower seeds, among other plant sources. Burcon is committed to delivering next-generation, best-in-class protein solutions, positioning itself as a key player in the rapidly expanding plant-based market. Supporting the growing trend towards a plant-based diet, Burcon offers sustainable protein ingredients that we believe are better for you and better for the planet. For more information, visit www.burcon.ca.
Forward-Looking Information Cautionary Statement
The TSX has not reviewed and does not accept responsibility for the adequacy of the content of the information contained herein. This press release contains forward-looking statements or forward-looking information within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Forward-looking statements or forward-looking information involve risks, uncertainties and other factors that could cause actual results, performances, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements or forward-looking information can be identified by words such as "anticipate," "aim", "intend," "plan," "goal," "project," "estimate," "expect," "believe," "future," "likely," "may," "should," "could," "will" and similar references to future periods. All statements included in this release, other than statements of historical fact, are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements or information. Important factors that could cause actual results to differ materially from Burcon's plans and expectations include the implementation of our business model and growth strategies; trends and competition in our industry our future business development, financial condition and results of operations and our ability to obtain financing cost-effectively; potential changes of government regulations; and other risks and factors detailed herein and from time to time in the filings made by Burcon with securities regulators and stock exchanges, including in the section entitled "Risk Factors" in Burcon's annual information form for the year ended March 31, 2024 and its other public filings with Canadian securities regulators on SEDAR+ at www.sedarplus.ca. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information. Any forward-looking statement or information speaks only as of the date on which it was made, and, except as may be required by applicable securities laws, Burcon disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. Although Burcon believes the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance, and, accordingly, investors should not rely on such statements.
Industry and Investor Contact
Paul Lam
Director, Investor Relations and Communications
Burcon NutraScience Corporation
Tel (604) 733-0896, Toll-free (888) 408-7960
plam@burcon.ca www.burcon.ca
Media Contact:
Steve Campbell, APR
President
Campbell & Company Public Relations
Tel (604) 888-5267
TECH@CCOM-PR.COM
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/230778
FAQ
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