Business
Placing to raise £1.16m and Proposed Subscription
Placing to raise £1.16m and Proposed Subscription.
About this update from Valirx Plc
[{"type":"text","content":"\n \nRNS Number : 2487Y ValiRx PLC 01 March 2017 \n\n \n \nValiRx Plc\n(\"ValiRx\" or \"the Company\")\n \n\"VALIRX RAISE £1.16M TO ACCELERATE CLINICAL TRIALS IN VAL201 & VAL401\"\n \n \nPLACING AND PROPOSED SUBSCRIPTION\n \nLondon, UK., 01 March 2017: ValiRx Plc (AIM: VAL), a clinical stage biotechnology company, is pleased to announce a placing to raise £1.16 million. \n \nPlacing \nThe Company has raised £1.16 million of gross proceeds through the issue of 46,509,015 new ordinary shares at a price of 2.5 pence per share (\"Placing Shares\"). Beaufort Securities Limited (\"Beaufort\") conducted the placing. In addition, certain Directors of the Company intend to subscribe for £30,000 of new ordinary shares on the same terms as the placing - a further announcement will be made in due course.\n \nUse of proceeds\nThe net proceeds of the placing will be used predominantly for: \n· The clinical development of VAL401;\n· The dose expansion of the VAL201 trial in a multi-centre study;\n· Supporting the opening of additional trial centres to aid recruitment and completion of the clinical trials for VAL401 and VAL201, and\n· For general working capital purposes and business development.\n \nAdmission\nApplication has been made to the London Stock Exchange for the 46,509,015 Placing shares to be admitted to trading on AIM. Admission of the 46,509,015 Placing Shares (\"Admission\") is expected to occur on or around 15 March 2017. The new ordinary shares will rank pari passu with the existing ordinary shares. Following the issue of the Placing Shares, the Company's share capital will comprise of 132,156,204 ordinary shares. \n \nIssue of warrants\nThe Company has entered into a warrant instrument pursuant to which, subject to and conditional on Admission of the Placing Shares, and the passing of the requisite shareholder resolution(s) of the Company (\"Resolutions\"), the Company shall grant the placees warrants to subscribe for 46,509,015 ordinary shares in the capital of the Company at an exercise price of 5p per share. The warrants may be exercised at any time in the period expiring on the second anniversary of the date of Admission of the P...