Hydration Pharmaceuticals (ASX:HPC) received firm commitments to raise AU$650,000 through the issue of 65 million shares at AU$0.01 apiece, according to a Tuesday filing with the Australian bourse.

A total of 60 million shares will be allocated to Joseph Constable, who will also join the board as a non-executive director after the placement's completion, the filing said. The remaining shares will be allocated to another investor.

The company also plans to raise an additional AU$610,000 through a pro rata entitlement offer, offering one new share for every five existing shares held to eligible shareholders.

Funds will be used to maintain sales momentum in US operations, per the filing.

Shares fell 10% in midday trade Wednesday.

Price (AUD): $0.01, Change: $-0.0010, Percent Change: -10.00%