- Hemostemix (HMTXF, Financial) has increased its private placement from $2.5 million to $3 million due to oversubscription.
- Significant insider participation includes $1.5 million from Chairman Peter Lacey and $100,000 from Director Loran Swanberg.
- The proceeds are allocated for debt repayment with a 50% discount and general working capital, focusing on marketing and sales of VesCell™.
Hemostemix (OTCQB: HMTXF) has announced an increase in its non-brokered private placement, raising the total from the initial $2.5 million to $3 million, prompted by investor oversubscription. The offering involves units priced at $0.10 each, comprising one common share and one warrant. The warrant is exercisable at $0.15 for a two-year period.
Insider involvement is notable, highlighted by Chairman Peter Lacey's substantial $1.5 million investment, alongside $100,000 from Director Loran Swanberg. The company will utilize the proceeds to repay CD#1 at a 50% discount, equivalent to $1.25 million, and bolster general working capital. This capital will support ongoing operational expenses, particularly the marketing and sales efforts for Hemostemix's VesCell™, an autologous stem cell therapy product.
The private placement, which constitutes a related party transaction under Multilateral Instrument 61-101, qualifies for certain regulatory exemptions. Hemostemix is exempt from formal valuation and minority shareholder approval requirements due to transactional values being below 25% of the company's market capitalization.
Hemostemix's expansion of its private placement underscores the company's commitment to accelerating its financial strategies and operational focus within the healthcare sector.
