- Tetra Bio-Pharma Inc. (TBP) signs an R&D agreement with Cannvalate Pty Ltd and a subscription agreement to raise proceeds of up to $7.5 million
- The partnership will look at the clinical viability of Tetra’s drug candidates in planned trials
- By conducting trials activities in Australia, it will benefit from a 43.5 per cent tax credit
- It will also have increased access to patients seeking participation in trials
- Cannvalate also agreed to acquire common shares of Tetra on a private placement basis
- Tetra Bio-Pharma Inc. (TBP) is up 8.33 per cent trading at $0.06 per share as of 2:12 p.m. ET
Tetra Bio-Pharma (TBP) has signed an R&D agreement with Cannvalate Pty Ltd and a subscription agreement for a $7.5 million private placement.
Tetra is a company dealing in cannabinoid-derived drug discovery and development, and its partnership with Cannvalate will look at the clinical viability of drug candidates REBORN®, PLENITUDE® and CAUMZ® in planned trials.
Cannvalate is a medical cannabis company focused on bringing safe and effective cannabinoid-based products to the Australian market. By conducting Tetra’s clinical trial activities in Australia, it will benefit from a 43.5 per cent tax credit on all money spent on clinical trials.
Tetra will also have increased access to patients seeking participation in trials where the pharmaceutical cannabis drug is provided at no cost.
Cannvalate also agreed to acquire common shares of Tetra on a private placement basis, through seven distinct tranches, for the proposed $7.5 million.
The first tranche of $500,000 was triggered by the signing of the subscription agreement, whereas the subsequent tranches will be prompted by the completion of various operational events in connection with the drug candidate clinical trials, such as the achievement of the first patient enrolments in each such trial.
Tetra intends to use the proceeds to fund its clinical trials and research and development activities in collaboration with Cannvalate and iNGENu.
The subscription price per common share shall be adjusted upwards to ensure that Cannvalate and its affiliates will not beneficially own more than 19.99 per cent of the issued and outstanding common shares.
Tetra Bio-Pharma Inc. (TBP) is up 8.33 per cent trading at $0.06 per share as of 2:12 p.m. ET.
