LONDON (Alliance News) - Life sciences company ValiRx PLC on Wednesday said it has raised GBP2.5 million through a subscription agreement with YA Global Master SPV Ltd.
YA Global Master has agreed to subscribe for 8.2 million ValiRx shares at 30.018 pence per share. ValiRx shares were down 9.3% to 27.66 pence on Wednesday morning, one of the worst performers in the AIM All-Share.
The company said the funds raised in the subscription will be used to advanced its therapeutic developments, biomarker programmes and for general working capital purposes.
In addition, ValiRx and Yorkville, which runs the YA Global Master vehicle, have agreed an equity swap concerning 6.4 million of the subscription shares.
Under that agreement, ValiRx will pay Yorkville GBP1.0 million, and Yorkville in turn will pay ValiRx monthly payments of GBP83,333.33 adjusted by reference to a formula related to the difference between the prevailing market price of the company's shares in any month and a benchmark price of 34.21 pence.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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ValiRx (VAL)