GM RAS salmon farmer on the hunt for more funds for operations and sites.
In a statement, US genetically engineered salmon farmer AquaBounty Technologies writes that it is seeking up to USD 200 million.
AquaBounty intends to use the net proceeds of this offering for general corporate purposes, including the payment of costs associated with the construction or site development for a new production farm, investing further in sales and marketing and research and development efforts and payments of anticipated general and administrative expenses.
In the statement, AquaBounty wrote that harvests of AquAdvantage Salmon are expected in the first quarter of 2021. The company added that as well as North American sites, the company is pursuing regulatory approval for AquAdvantage Salmon in Argentina, Brazil, China and Israel.
In December 2020, the GM salmon farmer completed a public offering of common shares with gross proceeds of USD 65.2 million and ended the year with USD 96.2 million of cash and cash equivalents.
“We have incurred significant losses since our inception. We expect to continue to incur significant losses for the foreseeable future, and we may never achieve or maintain profitability. For the fiscal years ended December 31, 2019, 2018 and 2017, we experienced net losses of USD 13.2 million, USD 10.4 million, and USD 9.3 million, respectively,” wrote AquaBounty.
Oppenheimer & Co. and Lake Street Capital Markets are acting as joint book-running managers for this offering.
UPDATE: In a press release the following day, AquaBounty wrote that it expects to receive approximately USD 110.5 million from the offering, raised from 13 million shares at a price of USD 8.50 per share.