MGC Pharmaceuticals - Refinancing of Convertible Securities Agreement

Argent BioPharma

28/03/2024 09:07

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240328:nRSb6882Ia&default-theme=true

RNS Number : 6882I  MGC Pharmaceuticals Limited  28 March 2024

 

 

MGC Pharmaceuticals Ltd

Refinancing of Convertible Securities Agreement

28 March 2024

ASX, LSE: MXC

MGC Pharmaceuticals Ltd ('MGC Pharma' or 'the Company') wishes to advise that
it has executed a Deed of Variation with Mercer Street Global Opportunity
Fund, LLC (Mercer) in respect of the convertible securities agreement entered
into between the Company and Mercer in 2020. This includes the refinancing of
500,000 convertible notes from the 2020 convertible note facility (Notes)
which totals $2,100,000. A commercial agreement has been reached by which the
minimum conversion price of the Notes has been reduced from not less than
$10.00 to not less than $0.35. Further details in respect of the variation to
the Notes are set out below.

Variation to 2020 Convertible Securities Agreement

As announced on 10 September 2020, the Company entered into an agreement with
Mercer (2020 Agreement), whereby Mercer conditionally agreed to provide the
Company with up to $15 million in funding, via subscriptions for convertible
notes in the Company with a face value of AUD$1.00 each.

As at the date of this announcement 2,100,000 convertible notes pursuant to
the terms of the 2020 Agreement remain on issue.

The Company and Mercer have agreed to amend the minimum conversion price of
500,000 Notes under the 2020 Agreement (which had amendments approved at a
meeting of Shareholders(( 1  (#_ftn1) ))) from "not less than $10.00" (post
consolidation) to "not less than $0.35" (post consolidation). The issue of any
conversion shares as a result of the amendment of the minimum conversion price
will be made under the Company's existing placement capacity under Listing
Rule 7.1.

The Company intends to reach additional agreements with Mercer to amend the
terms of the remaining 2020 convertible note facility and the 2022 convertible
note facility(( 2  (#_ftn2) )).

-Ends-

Authorised for release by the Managing Director, for further information
please contact:

 MGC Pharmaceuticals Ltd                                                  MGC Pharmaceuticals Ltd

 Roby Zomer                                                               Rowan Harland

 CEO & Managing Director                                                  Company Secretary

 +61 8 6555 2950                                                          +61 8 6555 2950

 info@mgcpharma.co.uk (mailto:info@mgcpharma.co.uk)                       info@mgcpharma.co.uk (mailto:info@mgcpharma.co.uk)
 UK IR/PR Advisers                                                        UK Brokers

 IFC Advisory                                                             Oberon Capital

 Graham Herring / Tim Metcalfe / Zach Cohen                               Aimee McCusker / Adam Pollock

 +44 203 934 6630                                                         +44 203 179 5300

 mgcpharma@investor-focus.co.uk (mailto:mgcpharma@investor-focus.co.uk)   aimeemccusker@oberoninvestments.com
                                                                          (mailto:aimeemccusker@oberoninvestments.com) adampollock@oberoninvestments.com
                                                                          (mailto:adampollock@oberoninvestments.com)

 

About MGC Pharma

MGC Pharmaceuticals Ltd (LSE: MXC, ASX: MXC) is a prominent European
pharmaceutical company with a strong commitment to creating accessible and
ethically produced cutting-edge medicines. Our approach combines in-house
research with innovative technologies, all aimed at discovering and producing
treatments for currently unmet medical conditions.

 

The company's founders and executives are distinguished figures in the global
pharmaceutical industry. Our central business strategy revolves around the
development and supply of innovative medicines, responding to the increasing
demand in the medical markets of Europe, North America, and Australasia.

 

MGC Pharma maintains a robust development pipeline that addresses two
prevalent medical conditions, with additional products currently in the
developmental stages. We've established strategic partnerships with renowned
institutions and academia, fostering the optimization of our medicines'
development. These medicines are produced in our EU-GMP Certified
manufacturing facilities, ensuring the highest quality standards.

 

With a growing patient base in key regions like the USA, UK, Australia, and
Ireland, MGC Pharma has also built a global distribution network through a
wide-reaching group of commercial partners. This extensive network places us
in a prime position to supply the global market effectively.

 

Follow us through our social media channels:

 

LinkedIn: MGC Pharmaceuticals Ltd.

Twitter: @MGC_Pharma

Facebook: @mgcpharmaceuticals

Instagram: @mgc_pharma

 

 

 

 

 1  (#_ftnref1) Refer to Notice of Meeting released 28 February 2023.

 2  (#_ftnref2) Refer to ASX Announcement dated 29 July 2022.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  AGRGIGDXCUDDGSI