New Leaf Ventures Closes Second And Final Tranche Of IPO

Health care investment firm New Leaf Ventures Inc. NLV announced Wednesday the closing of a second tranche of its initial public offering.

The second tranche of 2,990,400 units which went out at a price of 25 cents per unit gathered aggregate gross proceeds of approximately $747,600.

Each unit consists of one common share and one half common share purchase warrant.

In early May, the company had announced the completion of an IPO of 4,768,871 units for aggregate gross proceeds of approximately CA$1,192,217 ($883,253).

According to a press release published in January, the company expected to raise $5 million through its IPO of 20 million units, and anticipated closing the offering to occur during the first quarter of 2020. The Final Prospectus was dated Feb. 10, 2020 and amended on April 6 and April 14.

By closing this second tranche the company announces the conclusion of the distribution period. As a result, no further issues or tranches will be offered under for the IPO.

New Leaf Ventures plans to use the income from this second tranche for the expansion and business development of its holdings in the U.S. -which include New Leaf USA and its subsidiaries- as well as for marketing activities.

“We are thrilled to be closing on this additional round of our IPO financing. This will aid the Company greatly as we look to continue our operational initiatives and move the business forward,” said Mike Stier, President and CEO of New Leaf Ventures.

Lead image by Ilona Szentivanyi. Copyright: Benzinga.