Albert Labs announces C$4M financing ahead of CSE listing

Albert Labs Inc announced it is raising up to C$4 million via a brokered private placement ahead of its anticipated RTO on the Canadian Securities Exchange. 

The financing consists of up to 16 million subscription receipts priced at C$0.25 per receipt for aggregate proceeds of up to $4 million, with a 25% over-allotment option that could potentially add another $1 million to the total. 

The psychedelic medicine company is in the midst of a merger transaction with ME Resource Corp (CNSX:MEC) that is expected to close by the end of August 2021. 

READ: Albert Labs inks definitive reverse takeover agreement with ME Resource Corp, moves closer to CSE listing

In a statement, Vancouver-based Albert Labs said that once the receipt conditions are satisfied, each subscription receipt will automatically convert into one share of the public company.

Research Capital Corporation is leading a syndicate of agents including Beacon Securities Limited in the transaction. Once the deal is closed, the agents will receive a 7% commission based on the gross proceeds from the subscription receipts and a number of broker warrants equal to 7% of the subscription receipts sold.

Each broker warrant will be exercisable to buy one share of the company at $0.25 for a two-year period.

Albert Labs uses real-world evidence studies to enhance patient care by accelerating access to psychedelic therapy in a hospital setting for niche indications with urgent and high unmet needs.

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Story by ProactiveInvestors