AusCann Group completes capital raising

Company News

by Rachael Jones

Leading medical cannabis company AusCann Group (ASX:AC8) has successfully completed a capital raising of $33.4 million via a share placement to sophisticated and professional investors from North America and Australia, including AusCann’s major shareholder, Canopy Growth Corporation.

Canopy will increase its ownership in AusCann to 11.2 per cent following completion of the Placement.

AusCann will use the proceeds of the Placement to fund cannabinoid pharmaceutical research and development and clinical studies and expand its operations in Chile and Australia.

Canaccord Genuity Australia acted as lead manager and bookrunner to the Placement.

The Company intends to offer an SPP to eligible existing shareholders

Shares in AusCann Group (ASX:AC8)down 6.25% to $1.20
 

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.