PYC Therapeutics (ASX:PYC) is set to raise up to AU$146 million via a pro-rata accelerated non-renounceable entitlement offer on the basis of one new share for every four shares held, according to a Monday filing with the Australian bourse.
The offer will see the issue of up to 117 million new fully paid ordinary shares at AU$1.25 per share, a 2.7% discount to the last traded price of AU$1.285 on Feb. 14, the filing said.
The entitlement offer will consist of two components, an institutional offer for eligible institutional shareholders and a retail offer for eligible shareholders in Australia and New Zealand, the filing added.
The institutional offer will open on Monday and close on Tuesday, while the retail offer is expected to run from Feb. 24 to Mar. 14, the company said.
Additionally, the company has entered into an underwriting agreement to secure a minimum of AU$70 million in the event of a shortfall in the retail offer, ensuring that PYC will raise at least AU$105 million.
The proceeds from the equity raise will be allocated to advancing PYC's portfolio of first-in-class drug candidates and support the company's Phelan-McDermid Syndrome program.
The institutional entitlement offer is underway, with the share trading halt expected to be lifted on Wednesday. New shares are expected to be allotted by Feb. 27, the company added.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.