GM salmon farmer announces $7.5 million public share offering

News
809

AquaBounty Technologies- producers of AquAdvantage salmon – announces USD 7.5 Million public offering of common stock.

The biotechnology company, a majority-owned subsidiary of Intrexon Corporation, announced the pricing of its previously announced underwritten public offering of 3,345,282 shares of common stock of the Company at a price to the public of USD 2.25 per share, the company announced in a financial statement.

Earlier in the month, SalmonBusiness reported that the FDA had deactivated a 2016 import alert that prevented GE salmon from entering the U.S. Shares in the biotech firm subsequently grew by nearly 120 per cent.

AquaBounty expects to receive aggregate gross proceeds of approximately USD 7.5 million from the offering. The offering is expected to close on or about March 21, 2019, subject to customary closing conditions.

H.C. Wainwright & Co. is acting as the sole book-running manager for this offering.

National Securities Corporation, a wholly owned subsidiary of National Holdings Corporation, is acting as co-manager for the offering.

In addition, the Company has granted the underwriters of the offering a 45-day option to purchase up to 501,792 additional shares of common stock at the public offering price, less underwriting discounts and commissions.

AquaBounty Technologies currently intends to use the net proceeds of this offering for working capital costs associated with growing its first batches of fish at its Indiana and Rollo Bay farm sites and other general corporate purposes.

The biotech that can grow land-based salmon to market size in about half the time of a traditional fish.