/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Feb. 28, 2019 /CNW/ - Khiron Life Sciences
Corp. ("Khiron" or the "Company") (TSXV:KHRN,
OTCQB:KHRNF) is pleased to announce that it has closed today its
previously announced "bought deal" short form prospectus
offering of common shares ("Common Shares"), including the
exercise in full of the over-allotment option (the
"Offering").
A total of 13,110,000 Common Shares were sold at a price of
$2.20 per Common Share (the "Issue
Price") for aggregate gross proceeds of $28,842,000 (including the exercise in full of
the over-allotment option). The Offering was completed by a
syndicate of underwriters co-led by Canaccord Genuity Corp. and BMO
Nesbitt Burns Inc., and including Cormark Securities
Inc. (together, the "Underwriters").
The net proceeds of the Offering are expected to be used by the
Company to fund, among others, facility expansion, equipment
purchases, commercial and product expansion efforts, future
acquisitions, and general and administrative and working capital
purposes. The Offering is subject to TSX Venture Exchange
("TSXV") final acceptance of requisite regulatory
filings.
In consideration for their services, the Underwriters received a
cash commission equal to 6% of the gross proceeds of the Offering
and compensation options (each a "Compensation Option")
equal to 6% of the Common Shares sold pursuant to the Offering.
Each Compensation Option is exercisable at the Issue Price into one
Common Share for a period of 24 months from the date hereof.
An officer of the Company purchased an aggregate of 100,000
Common Shares pursuant to the Offering. By virtue of the
participation of such insider, the Offering constitutes a "related
party transaction" under Multilateral Instrument 61-101 Protection
of Minority Security Holders in Special Transactions ("MI
61-101"). The Company is relying on exemptions from the formal
valuation and minority shareholder approval requirements of MI
61-101.
The common shares subject to the Offering have not been and
will not be registered under the U.S. Securities Act of 1933, as
amended, (the "U.S. Securities Act") and may not be offered
or sold in the United States
absent registration under or an applicable exemption from the
registration requirements of the U.S. Securities Act. This press
release does not constitute an offer to sell or the solicitation of
an offer to buy the shares herein described, and shall not
constitute an offer, solicitation or sale in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of that
jurisdiction.
About Khiron Life Sciences Corp.
Khiron Life Sciences Corp. is positioned to be a dominant
integrated medical cannabis company in Latin America. The Company has core operations
in Colombia and is fully licensed
in the country for the cultivation, production, domestic
distribution, and international export of both tetrahydrocannabinol
(THC) and cannabidiol (CBD) medical cannabis. In May 2018, Khiron listed on the TSXV, becoming the
first Colombian based medical cannabis company to trade on any
exchange globally.
With a focused regional strategy and patient oriented
approach, the Company combines global scientific expertise,
agricultural advantages, branded product market entrance
experience and education to drive prescription and brand
loyalty to address priority medical conditions such as chronic
pain, epilepsy, depression and anxiety in the Latin American
market of over 620 million people. The Company is led by Co-founder
and Chief Executive Officer, Alvaro
Torres, together with an experienced executive team,
and a knowledgeable Board of Directors that includes former
President of Mexico, Vicente Fox.
Forward-looking statements
This news release may contain "forward-looking information"
and "forward-looking statements" within the meaning of applicable
Canadian securities legislation. All information contained herein
that is not historical in nature may constitute forward-looking
information. Forward-looking statements herein include but are not
limited to statements regarding the final acceptance of the TSXV
and the intended use of proceeds, and are necessarily based upon a
number of assumptions that, while considered reasonable by
management, are inherently subject to business, market and economic
risks, uncertainties and contingencies that may cause actual
results, performance or achievements to be materially different
from those expressed or implied by forward-looking statements.
Except as required by law, the Company disclaims any obligation to
update or revise any forward-looking statements. Readers are
cautioned not to put undue reliance on these forward-looking
statements.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this press
release.
Further information in respect of the Company can be found
at www.khiron.ca.
SOURCE Khiron Life Sciences Corp.