IGC Pharma Secures $3M Via Private Placement
Portfolio Pulse from Vuk Zdinjak
IGC Pharma, Inc. (AMEX:IGC) has secured a strategic investment from four funds managed by Bradbury Asset Management and three unrelated investors, resulting in approximately $3 million in gross proceeds. The funds will support the advancement of the company's phase-2 clinical trial of IGC-AD1, a drug candidate designed to address agitation in dementia caused by Alzheimer's disease. The private placement is subject to approval by the NYSE and will involve the issuance of ten million shares of unregistered common stock at $0.30 per share.
July 06, 2023 | 1:06 pm
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IGC Pharma has secured a $3 million investment to support its Alzheimer's drug trial. The funds will be raised through a private placement of 10 million shares at $0.30 each, pending NYSE approval.
The news of the $3 million investment is likely to be seen positively by the market as it strengthens IGC's working capital and supports the advancement of its Alzheimer's drug trial. However, the issuance of new shares could dilute existing shareholders' equity, which may have a negative impact. The final impact will depend on the market's perception of the balance between these factors.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100