Memphasys secures $3.5M funding from major shareholder
- Memphasys signed a convertible note agreement to receive a $3.5 million advance from major shareholder Peters Investments on Oct. 2.
- Shares in Memphasys remained unchanged following the capital expansion announcement.
- The capital injection will expand commercial teams, build product inventory, and fund regulatory pathways for the Felix device.
Memphasys (ASX:MEM) has executed a convertible note subscription agreement with Peters Investments to secure a $3.5 million advance on Oct. 2.
The new funding capitalises on repeat orders for the company's Felix device across Italy, the UK, and the MENA region, supported by more than $5.1 million in minimum contracted sales across at least 31 countries.
Until shareholder approval is secured to issue the convertible notes, the funding remains structured as an interest-bearing loan, with initial conversion rights set at $0.004 per share.
The company stated that the capital will fund three priority areas: expanding its commercial team, increasing product inventory, and supporting its FDA regulatory strategy.
Following the announcement, the Memphasys share price was unchanged at $0.005.
Alongside the investment, Memphasys proposed a one-for-ten share consolidation and appointed Melissa Peters as a non-executive director to its board.
The company stated that its FDA regulatory pathway is strategically important and is not expected to represent a significant drain on cash or resources.
