Business
Ensysce Biosciences Announces Completion of $1.7 Million Convertible Note Financing
Additional Funding from Investors Validates Company's MissionSAN DIEGO, CA / ACCESSWIRE / November 29, 2023 / Ensysce Biosciences, Inc. ("Ensysce" or the
About this update from Ensysce Biosciences, Inc.
[{"type":"text","content":"Additional Funding from Investors Validates Company's MissionSAN DIEGO, CA / ACCESSWIRE / November 29, 2023 / Ensysce Biosciences, Inc. (\"Ensysce\" or the \"Company\") (NASDAQ:ENSC), a clinical-stage company applying transformative chemistry to improve prescription drug safety, announced today that it has completed its previously announced private placement under a securities purchase agreement (the \"SPA\") with investors (\"Investors\") for senior secured convertible notes (the \"Notes\") and warrants exercisable for Ensysce common stock (the \"Warrants\") for an aggregate investment of $1.7 million. The second funding by the Investors of $1,333,333.33, prior to fees and offering expenses, was dated as of November 28, 2023, with funds received in full on November 29, 2023.Dr. Lynn Kirkpatrick, CEO of Ensysce commented, \"The completion of this financing is another validation of our highly unique TAAP and MPAR® technologies. The funding will support the completion of a time of onset study and regulatory milestones for PF614, our lead product. We are very pleased that we were able to secure this additional funding that will complement the Federal Government Grant awards we receive that are progressing our MPAR and Opioid Use Disorder program. The funds from this second closing will continue our clinical progress with PF614 and support our mission to deliver superior pain relief options while also providing abuse and overdose protection for opioid products.\"As previously reported, the Notes, with total gross proceeds of $1.7 million before fees and expenses, are convertible into shares of Ensysce common stock (\"Common Stock\") at a conversion price of $1.5675, the base price set at the time of execution of the SPA. The Notes have a maturity date of 6 months from the applicable closing date, will be issued with an original discount of 8% and will bear interest from date of issuance at 6% per annum. Monthly principal payments and interest in cash, or at the election of the purchaser in whole or in part which may occur at any time, in common stock will begin approximately 90 days after each respective closing. The Warrants issued at the initial closing provided for the right to purchase up to 1,255,697 shares of common stock at an exercise price of $1.5675, the same as the conversion price, and are exercisable for five years foll...