Lexaria Bioscience Corp. completed a registered direct offering of 2,000,000 shares of common stock at $1.00 per share, generating gross proceeds of $2 million through a transaction with a single institutional investor. H.C. Wainwright & Co. served as the exclusive placement agent for this strategic financing arrangement. The company structured the deal to minimize shareholder dilution by limiting warrant issuance to pre-funded warrants, demonstrating careful financial planning during a challenging market period.
The offering was conducted under a previously filed shelf registration statement that was declared effective by the Securities and Exchange Commission on January 30, 2025. This regulatory framework allowed for efficient execution of the capital raise. Lexaria intends to allocate the net proceeds toward working capital and general corporate purposes, providing essential funding to maintain operational flexibility and support ongoing research and development initiatives.
CEO Richard Christopher emphasized the strategic importance of this financing, noting the company's ability to secure funding despite current market challenges. The capital infusion comes at a critical time for advancing Lexaria's core technology platform. The company's DehydraTECH drug delivery platform represents a significant innovation in pharmaceutical technology, having demonstrated capabilities in improving oral drug absorption while reducing side effects across various therapeutic applications.
With 48 patents already granted worldwide and additional patents pending, Lexaria continues to strengthen its intellectual property portfolio around the DehydraTECH technology. This financial move underscores the company's commitment to advancing its innovative drug delivery platform while maintaining financial discipline in a complex market environment. The successful completion of this offering provides Lexaria with the necessary resources to continue developing its technology across multiple potential applications in the pharmaceutical industry.
