Argent BioPharma (ASX:RGT) has entered a binding agreement with AusCann Group (ASX:ACN) to acquire AusCann's 48% equity interest in CannPal for $2 million in Argent shares at 10 cents per share.
The streamlined transaction replaces the broader non-binding term sheet announced on Aug. 19, 2025 and excludes AusCann's equity in EuroCann, a European GMP-certified cannabis manufacturer.
The acquisition is expected to accelerate Argent’s flagship cannabinoid therapy, CannEpil, by providing immediate access to validated preclinical and clinical data, supporting regulatory submissions and early-access programs in Europe and potentially other markets.
The agreement also includes an option to acquire the Neuvis oral drug-delivery platform, offering enhanced formulation capabilities for CannEpil and CimetrA, with potential patent protection through 2038+.
The transaction, fully supported by Argent's board, major shareholders, and primary financier C/M Capital Partners, is designed to strengthen the company’s clinical pipeline, intellectual property portfolio, and participation in early-access patient programs.
Completion is subject only to shareholder approval of the $2 million share consideration, with integration activities already planned to support clinical expansion and launch readiness.
Following completion, Andrew Chapman will join the Argent board as executive director, while current CEO Roby Zomer will assume the role of non-executive chairman, overseeing the US dual-listing strategy and asset integration.
Argent Managing Director Roby Zomer commented, "This acquisition delivers immediate clinical and preclinical value to CannEpil, secures optional platform technology through Neuvis, and aligns our asset base and governance with the next phase of growth."
The transaction is expected to be completed in Q1 2026.