Here’s the press release in full …
Origin Therapeutics Closes $6.5 Million Private Placement to Fund New Investments in Psychedelics
Vancouver, B.C. – August 12, 2021 – Origin Therapeutics Holdings Inc. (CSE: ORIG Proposed) (the “Company” or “Origin Therapeutics”), an actively managed investment issuer focused on making equity investments in psychedelics-related companies, is pleased to announce that it has completed a non-brokered private placement (the “Offering”) resulting in gross proceeds of $6,550,000 through the sale of 26,200,000 special warrants priced at $0.25 per warrant.
The net proceeds of the Offering will be used by Origin Therapeutics for investments in private, early-stage companies in the growing psychedelics sector.
“It is very gratifying to see such a strong indication of investor support for our team and our vision. We look forward to building a portfolio of high-quality, psychedelics-related investments,” said Origin Therapeutics CEO Alexander Somjen. “We plan to deploy capital across a diverse group of private companies to offer our investors exposure to early-stage opportunities with high growth potential that they may otherwise be unable to access.”
Each special warrant automatically converts into one common share in the capital of Origin Therapeutics, without payment of additional consideration, on a date that is the earlier of: (i) the third business day after a receipt for a final prospectus qualifying the distribution of shares issuable; and (ii) 4 months and one day after the issue date of the special warrants.
“With this, we are well capitalized to begin building our initial investment portfolio,” added Somjen. “It is truly an exciting time to be on the forefront of this sector, backing a new wave of companies and a supporting industry that has the potential to revolutionize mental health treatment as we know it.”
The devastating COVID-19 pandemic has highlighted the desperate need globally for more effective mental health care. One in five Canadians experience a mental illness or addiction problem every year, and by the age of 49, one in two have or have had a mental illness, according to a report from the Mental Health Commission of Canada.