Actinogen Medical (ASX:ACW) has announced the completion of its recent capital raise activities including the results of the Share Purchase Plan (SPP). In the oversubscribed institutional placement announced on November 25, 2021, the Company raised $12m via the issue of 88,888,889 new, ordinary, fully paid Actinogen shares at an offer price of $0.135/new share.
Actinogen also offered a non-underwritten SPP to eligible existing shareholders at the same $0.135 issue price as the placement, with subscriptions received for 9,796,389 new, ordinary fully paid shares totalling $1,322,500.
The funds received will help support Actinogen?s newly announced Xanamem Phase 2 trial in Major Depressive Disorder, as well as expanding the scope of the company?s Phase 2 Fragile X Syndrome trial to North American clinical centres, as the company broadens the dose range, and enrols a higher number of patients in the trial.
When an ASX-listed company announces a capital raising, it generally means it is selling more shares to raise money.
More often than not, the shares are sold at a discount to the company?s share price at the time to entice new and existing investors.
Shares of Actinogen Medical fell 2.31% following the announcement to $0.13/share.