Novamind And Numinus Prepare For Acquisition, Both Companies Share Info Circulars To Shareholders

June 8, 2022 marks a turning point for both Numinus (OTCQX: NUMIF) and Novamind (OTCQB: NVMDF). That day, shareholders will vote in two special meetings on the proposed acquisition of Novamind by Numinus.

This week both companies shared circulars with their shareholders, asking them to consider the acquisition.

On the side of the buyers, shareholders were urged to consider the issuance of 63,010,034 common shares to the security holders of Novamind.

Payton Nyquvest, founder and CEO of Numinus, said in a press release: “We expect this acquisition will significantly bolster our financial performance, growing Numinus' annual revenue to more than five times our current levels, and driving meaningful margin improvement through identified operating efficiencies. We believe our combined capabilities will deliver exceptional value for our clients, employees, and shareholders.”

According to Numinus, the acquisition is anticipated to generate C$3 million of annual cost savings “through the elimination of duplicate corporate expenses.”

On the other side, Novamind assured its shareholders that, if the arrangement becomes effective, holders of the company’s shares will receive 0.84 of a common share of Numinus for each Novamind share. In a press release from the company, it was noted that the implied offer price per Novamind share “represents a premium of approximately 51% based on the 20-day volume-weighted average price” of Novamind shares on the CSE.

In other Novamind news, the company will host a clinical trial for the acute treatment of social anxiety disorder (SAD). The clinical trial will be sponsored by Bionomics Limited (NASDAQ: BNOX) with the goal to study the effects of Bionomics’ BNC210 for treating SAD and PTSD.

Photo: Courtesy of Cytonn Photography on Unsplash