InMed Pharmaceuticals raises $5 million in private placement

Published 25/06/2025, 13:14
InMed Pharmaceuticals raises $5 million in private placement

VANCOUVER - InMed Pharmaceuticals Inc. (NASDAQ:INM), a pharmaceutical company with a current market capitalization of $4.67 million and showing a significant 54% return over the last week according to InvestingPro, announced Wednesday it has entered into definitive agreements with a single institutional investor for a $5 million private placement of common shares and short-term preferred investment options.

The pharmaceutical company, which develops small molecule drug candidates for diseases with high unmet medical needs, priced the offering at $2.561 per share or pre-funded warrant, in accordance with Nasdaq rules. The placement includes 1,952,363 common shares and short-term preferred investment options to purchase an equal number of additional shares. InvestingPro data shows the company maintains a healthy current ratio of 3.49, with liquid assets exceeding short-term obligations, though it has been quickly burning through cash.

The short-term preferred investment options will be exercisable immediately at $2.436 per share and will expire 18 months after the effective date of the resale registration statement. If fully exercised, these options could generate approximately $4.75 million in additional gross proceeds.

H.C. Wainwright & Co. is serving as the exclusive placement agent for the offering, which is expected to close on or about June 25, 2025, subject to customary closing conditions.

InMed plans to use the proceeds to advance its pharmaceutical drug candidate pipeline, support commercial sales of rare cannabinoids through its subsidiary BayMedica LLC, and for general working capital purposes. This funding comes at a crucial time, as InvestingPro analysis indicates the company’s revenue of $4.92 million in the last twelve months, with analysts expecting challenging conditions ahead. Get access to 12 more exclusive InvestingPro Tips and detailed financial metrics with an InvestingPro subscription.

As part of the transaction, InMed will also amend certain existing preferred investment options previously issued in October 2023, reducing their exercise price from $16.60 to $2.436 per share.

The securities offered in this private placement have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States without registration or an applicable exemption from registration requirements.

This information is based on a company press release statement.

In other recent news, InMed Pharmaceuticals announced promising preclinical results for its Alzheimer’s drug candidate, INM-901. The drug demonstrated a significant reduction in inflammation markers in laboratory tests, suggesting potential as a therapeutic candidate for Alzheimer’s disease. The study highlighted a dose-dependent reduction in pro-inflammatory cytokines, including IL-6, IL-1β, and NLRP3, which are associated with neurodegenerative diseases. Additionally, the company plans to advance INM-901 through further preclinical studies. In another development, InMed Pharmaceuticals canceled a previously scheduled special shareholder meeting. The cancellation was communicated through a filing with Canadian securities authorities, although no specific reasons were provided. Earlier, the company had set the date for the meeting on June 13, 2025, as part of its regular compliance and communication activities. These updates reflect InMed’s ongoing engagement with its pharmaceutical pipeline and investor relations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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