Edesa Biotech Closes $15M Private Placement Priced At-the-Market

DENVER, Colo., Feb 13, 2025 (247marketnews.com)- Edesa Biotech (NASDAQ:EDSA) successfully completed a private placement offering raising $15.0 million in gross proceeds.

Edesa sold an aggregate of 834 Series B-1 convertible preferred shares and 3,468,746 common shares. The purchase price for each Series B-1 Preferred Share was $10,000. The purchase price for each common share was $1.92.

The offering was led by Velan Capital and included new investors, as well as existing Edesa shareholders and insiders. Notably, Edesa officers and directors purchased approximately $1.1 million of the securities sold. The offering was conducted without a placement agent, underwriter, broker, or dealer.

Edesa intends to use the net proceeds from the offering primarily to fund the advancement of its EB06 program, a CXCL10 monoclonal antibody, into a Phase 2 clinical study for treating nonsegmental vitiligo. The remaining funds will be used for working capital and general corporate purposes.

The Series B-1 Preferred Shares are convertible into common shares at a price of $1.92 per share. The conversion is subject to a beneficial ownership limitation, capping ownership at 4.99% (or 9.99% at the investor’s option) of the outstanding common shares.

In connection with the offering, David Liu, a Senior Analyst at Velan Capital, was appointed to Edesa’s Board of Directors, effective immediately upon closing.

About 24/7 Market News
As a pioneer in digital financial market media, 24/7 Market News (24/7MN) is dedicated to the swift distribution of financial market news and information. 24/7 MN incorporates comprehensive corporate communications resources and tools to engage the investment community. Visit 24/7 Market News website here.

24/7 MARKET NEWS, INC Disclaimer
Please go to https://247marketnews.com/disclaimer/ for disclaimer information.

CONTACT:
24/7 Market News
Editor@247marketnews.com

Related news for (EDSA)

NASDAQ and NYSE quotes and data are delayed 15 minutes unless indicated otherwise. Market data and exchange information are provided for informational purposes only and is not intended for trading purposes. Neither 24/7 Market News Editors, 247 Market News, or data and content providers shall be liable for any errors or omissions, delays, misquotes or other market information relayed in any press materials. You should Use Realtime data to conduct due diligence before investing or trading, and trading in any stock is risky you could lose all your money.