AquaBounty Technologies will use proceeds to improve its land-based farm in the US’s Midwest where it is growing genetically engineered Atlantic salmon.
In a filing, GM fish farmer AquaBounty which is behind the outfit currently producing genetically engineered-fast growing salmon (AquaAdvantage), is offering USD 10 million of shares.
It intends to use the net proceeds to improve its facilities Rollo Bay and Indiana, USA, where it’s growing its first batches of fish, expected later on in the year.
AquaBounty said that it estimates that the net proceeds from the sale of shares of its common stock in this offering will be approximately USD 9.2 million (or approximately USD 10.6 million if the underwriters’ option to purchase additional shares in this offering is exercised in full).
“We believe that we are a leader in the field of land-based aquaculture and the use of technology for improving its productivity and sustainability. Our lead product is the AquAdvantage Salmon, which received FDA approval in 2015 as the first bioengineered animal available for sale for human consumption. We have commenced commercial activities with operations in the United States and Canada where we have received regulatory approval,” it wrote.
It added that it expected that its sales will be modest and infrequent until is grow-out farms in Indiana and Rollo Bay commence harvesting.
“In the future, we believe that our revenue will depend upon the number of countries in which we have received regulatory approval for the sale of our products, the number and capacity of grow-out farms we have in operation, and the market acceptance we achieve,” added the GM salmon farmer.
It wrote that on January 14, the closing sale price of its common stock on the Nasdaq Capital Market was USD 2.66 per share. At the time of writing, shares were down 9.40 per cent.