- LexaGene Holdings Inc. (LXG) announces a $6.47M private placement with Meridian LGH Holdings
- LexaGene is a diagnostics company that has commercialized an instrument for automated PCR testing
- LexaGene issued 13.1 million units as a part of the first tranche and the second tranche will include 5.3 million units
- It will use the proceeds towards purchasing inventory for manufacturing more MiQLab™ systems, supporting sales, marketing, and continued research and development
- LexaGene Holdings Inc. (LXG) is down 4.22 per cent trading at $0.34 per share as of 9:04 a.m. EST
LexaGene Holdings Inc. (LXG) has announced a $6.47M private placement with Meridian LGH Holdings.
LexaGene issued 13.1 million units at a price of $0.35 per unit as a part of the first tranche.
Meridian is a Dallas-based subsidiary of Meridian Veterinary Capital LLC. Curt Boisfontaine and LexaGene is a diagnostics company that has commercialized an instrument for automated PCR testing.
The second and final tranche will be made up of 5.3 million units issued at the same price per unit for gross proceeds of $1.8 million.
Each unit is comprised of one common share of LexaGene and one common share purchase warrant.
Each warrant entitles the holder to purchase one common share at a price of $0.45 for three years.
The second tranche is expected to close upon the company receiving clearance from the TSXV.
After the closing is complete, Meridian will hold approximately 13.41 per cent of the issued and outstanding common shares of LexaGene
LexaGene intends to use the proceeds towards purchasing inventory for manufacturing more MiQLab™ systems, supporting sales, marketing, and continued research and development.
Meridian will be granted certain information, and the right to participate in future financings to maintain its interest of up to 19.99 per cent.
This is so long as Meridian maintains a minimum 10 per cent equity interest in LexaGene.
Meridian is also entitled to ‘demand’ registration rights that will allow it to request LexaGene to register for resale any common shares acquired by, issued or issuable to, or otherwise owned by Meridian.
Meridian can ‘piggyback’ registration rights to allow it to include registrable securities in any public offering initiated by LexaGene or by any of the other shareholders.
LexaGene Holdings Inc. (LXG) is down 4.22 per cent trading at $0.34 per share as of 9:04 a.m. EST.