Quantum Biopharma Announces Non-Brokered Private Placement of Convertible Debenture Units for Gross Proceeds of Up to $5 Million
Quantum BioPharma (NASDAQ:QNTM) has announced a non-brokered private placement offering of up to 5,000 convertible debenture units at $1,000 per unit, aiming to raise up to $5 million. Each unit includes a $1,000 secured convertible debenture and 80 class B share purchase warrants.
The debentures will mature in 36 months with a 1.25% monthly interest rate, payable quarterly. They are convertible into class B shares at $6.25 per share. The warrants allow holders to purchase additional class B shares at $7.00 per share within 5 years. The proceeds will support business development and working capital. The company also settled $43,825.17 in debt through the issuance of 7,500 shares at $5.84 per share.
Quantum BioPharma (NASDAQ:QNTM) ha annunciato un'offerta di collocamento privato non intermedia a un massimo di 5.000 unità di obbligazioni convertibili al prezzo di 1.000 dollari per unità, con l'obiettivo di raccogliere fino a 5 milioni di dollari. Ogni unità comprende un'obbligazione convertibile garantita da 1.000 dollari e 80 warrant per l'acquisto di azioni di classe B.
Le obbligazioni scadranno in 36 mesi con un tasso di interesse mensile dell'1,25%, pagabile trimestralmente. Sono convertibili in azioni di classe B a 6,25 dollari per azione. I warrant consentono ai detentori di acquistare ulteriori azioni di classe B a 7,00 dollari per azione entro 5 anni. I proventi sosterranno lo sviluppo commerciale e il capitale circolante. La società ha inoltre estinto debiti per un totale di 43.825,17 dollari tramite l'emissione di 7.500 azioni a 5,84 dollari per azione.
Quantum BioPharma (NASDAQ:QNTM) ha anunciado una oferta de colocación privada no intermediada de hasta 5.000 unidades de obligaciones convertibles a $1,000 por unidad, con el objetivo de recaudar hasta $5 millones. Cada unidad incluye una obligación convertible asegurada de $1,000 y 80 garantías de compra de acciones de clase B.
Las obligaciones vencerán en 36 meses con una tasa de interés mensual del 1.25%, pagadera trimestralmente. Son convertibles en acciones de clase B a $6.25 por acción. Las garantías permiten a los tenedores comprar acciones adicionales de clase B a $7.00 por acción dentro de 5 años. Los ingresos apoyarán el desarrollo empresarial y el capital de trabajo. La compañía también liquidó $43,825.17 en deuda mediante la emisión de 7,500 acciones a $5.84 por acción.
Quantum BioPharma (NASDAQ:QNTM)는 최대 5,000개의 전환 사채 유닛을 유닛당 $1,000에 비중개 사모 배치를 발표하여 최대 $5 million을 모금할 계획입니다. 각 유닛은 $1,000의 담보전환사채와 80개의 B급 주식 구매 워런트를 포함합니다.
사채는 36개월 후 만료되며 월이자율은 1.25%입니다. 이자는 분기별로 지급됩니다. 사채는 주당 $6.25로 B급 주식으로 전환할 수 있습니다. 워런트는 보유자가 5년 이내에 주당 $7.00로 추가 B급 주식을 구매할 수 있게 해줍니다. 조달된 자금은 사업 개발과 운전자본을 지원하는 데 사용됩니다. 회사는 또한 7,500주를 주당 $5.84에 발행하여 $43,825.17의 빚을 정리했습니다.
Quantum BioPharma (NASDAQ:QNTM) a annoncé une offre de placement privé non-intermédié pouvant aller jusqu'à 5 000 unités d'obligations convertibles au prix de 1 000 $ par unité, dans le but de lever jusqu'à 5 millions de dollars. Chaque unité comprend une obligation convertible sécurisée de 1 000 $ et 80 bons de souscription d'actions de classe B.
Les obligations arriveront à échéance dans 36 mois avec un taux d'intérêt mensuel de 1,25 %, payable trimestriellement. Elles sont convertibles en actions de classe B à 6,25 $ par action. Les bons de souscription permettent aux détenteurs d'acheter des actions supplémentaires de classe B à 7,00 $ par action dans un délai de 5 ans. Les produits seront utilisés pour soutenir le développement commercial et le fonds de roulement. L'entreprise a également réglé une dette de 43 825,17 $ par l'émission de 7 500 actions à 5,84 $ par action.
Quantum BioPharma (NASDAQ:QNTM) hat ein nicht vermittelte Privatplatzierung von bis zu 5.000 wandelbaren Schuldverschreibungseinheiten zu je 1.000 Dollar angekündigt, mit dem Ziel, bis zu 5 Millionen Dollar zu sammeln. Jede Einheit umfasst eine gesicherte wandelbare Schuldverschreibung von 1.000 Dollar sowie 80 Kaufwarrants für Aktien der Klasse B.
Die Schuldverschreibungen haben eine Laufzeit von 36 Monaten mit einem monatlichen Zinssatz von 1,25%, zahlbar vierteljährlich. Sie sind zu einem Preis von 6,25 Dollar pro Aktie in Aktien der Klasse B wandelbar. Die Warrants ermöglichen es den Inhabern, innerhalb von 5 Jahren zusätzliche Aktien der Klasse B zu einem Preis von 7,00 Dollar pro Aktie zu erwerben. Die Erlöse werden die Geschäftsentwicklung und das Betriebskapital unterstützen. Das Unternehmen hat zudem Schulden in Höhe von 43.825,17 Dollar durch die Ausgabe von 7.500 Aktien zu je 5,84 Dollar beglichen.
- Secured additional funding of up to $5 million through convertible debenture offering
- Debt settlement of $43,825.17 through share issuance, improving balance sheet
- Potential shareholder dilution through convertible debentures and warrants
- Monthly interest payment obligation of 1.25% on debentures
- Additional debt burden through convertible debentures
Insights
This
The structure suggests the company is prioritizing near-term capital needs while offering equity upside to attract investors. However, the high interest rate indicates some risk premium and could create significant interest expense burden. The secured nature of the debentures provides some protection for investors but also encumbers company assets. The small debt settlement of
The non-brokered nature of this private placement indicates direct engagement with investors, potentially reducing costs but limiting distribution reach. The flexible redemption option gives the company control over its capital structure, though early redemption penalties could impact returns. With a market cap of about
The conversion price of
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
TORONTO, ON / ACCESSWIRE / December 5, 2024 / Quantum BioPharma Ltd. (NASDAQ:QNTM)(CSE:QNTM)(FRA:0K91) ("Quantum BioPharma" or the "Company"), is pleased to announce that it intends to complete a non-brokered private placement offering (the "Offering") of up to 5,000 convertible debenture units of the Company (the "Debenture Units") at a price of
Each Debenture Unit will consist of (i) one secured convertible debenture having a face value of
The principal sum of the Debentures, or any portion thereof, and any accrued but unpaid interest, may be converted into class B Shares at a conversion price of
The Company will use the proceeds from the Offering for the ongoing development of the Company's business model and for general working capital purposes.
The Company may redeem the Debentures at any time prior to maturity, in whole or in part, upon fifteen days' notice and payment of certain penalties as applicable. The Company's obligations under the Debentures are collaterally secured by general security from the Company.
The Company expects the Offering to be completed in tranches, with the first tranche closing the week of December 9, 2024.
All amounts in this press release are expressed in Canadian dollars.
The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.
In addition, the Company has settled
About Quantum BioPharma Ltd.
Quantum BioPharma is a biopharmaceutical company dedicated to building a portfolio of innovative assets and biotech solutions for the treatment of challenging neurodegenerative and metabolic disorders and alcohol misuse disorders with drug candidates in different stages of development. Through its wholly owned subsidiary, Lucid Psycheceuticals Inc. ("Lucid"), Quantum BioPharma is focused on the research and development of its lead compound, Lucid-MS. Lucid-MS is a patented new chemical entity shown to prevent and reverse myelin degradation, the underlying mechanism of multiple sclerosis, in preclinical models. Quantum BioPharma invented UNBUZZD™ and spun out its OTC version to a company, Celly Nutrition Corp. ("Celly Nutrition"), led by industry veterans. Quantum BioPharma retains ownership of
Forward-Looking Information
Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend" or the negative of these terms and similar expressions. Forward-looking statements in this news release include statements relating to: the stated terms, use of proceeds, and timeline of the Offering; and the Company's issuance of the Debentures, Warrants (and the underlying Warrant Shares if exercised), and potential issuance of Shares (if the Debentures are converted).
Forward-looking information in this press release are based on certain assumptions and expected future events, including but not limited to: the Company has the ability to carry out the Offering as stated; and the Company has the ability to issue the Debentures, Warrants (and the underlying Warrant Shares if exercised), and Shares (if the Debentures are converted).
These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including but not limited to: the Company's inability to carry out the Offering as stated; and the Company's inability to issue the Debentures, Warrants (and the underlying Warrant Shares if exercised), and Shares (if the Debentures are converted), as well the reader is urged to refer to additional information relating to Quantum BioPharma, including its annual information form, can be located on the SEDAR+ website at www.sedarplus.ca and on the EDGAR section of the United States Securities and Exchange Commission's website at www.sec.gov for a more complete discussion of such risk factors and their potential effects.
Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.
Forward-looking statements contained in this press release are expressly qualified by this cautionary statement and reflect the Company's expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward- looking information, except as required by applicable law.
Contacts:
Quantum BioPharma Ltd.
Zeeshan Saeed, Founder, CEO and Executive Co-Chairman of the Board
Email: Zsaeed@quantumbiopharma.com
Telephone: (416) 854-8884
Investor Relations
Email: ir@quantumbiopharma.com, info@quantumbiopharma.com
Website: www.quantumbiopharma.com
SOURCE: Quantum BioPharma Ltd.
View the original press release on accesswire.com
FAQ
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