(Alliance News) - Spinnaker Opportunities PLC on Friday announced a contractual investment commitment for up to GBP1.4 million from an undisclosed single professional investor.
The fundraise is conditional on the completion of Spinnaker's acquisition of medicinal cannabis oil company Kanabo Research Ltd, for which Spinnaker first signed a heads of terms in February.
Under the investment commitment, the investor would take part in a placing of shares in conjunction with the Kanabo acquisition, up to an amount reflecting 5.0% of Spinnaker's enlarged share capital following the deal.
The remaining balance of the investment not used by the company following the acquisition will be converted into a nil-coupon, unsecured convertible loan note, that can only be converted at the same price as the placing.
"We are delighted by the investment commitment that we have received for this ground-breaking acquisition, even ahead of any formal marketing process. We continue to work to deliver this acquisition to shareholders as soon as possible," said Chair Andy Morrison.
Shares in Spinnaker have been suspended in London since the February announcement.