MAPS, Eight Capital and Integrated V.C. Backs Numinus $6M Offering

The TDR Three Takeaways:

1. Numinus Wellness Inc. partners with Eight Capital in a $6 million bought deal, involving the purchase of 50,000,000 units, strengthening the company’s financial position for future mental health initiatives.
2. The involvement of MAPS and Integrated V.C. in Numinus’s offering highlights growing interest and confidence in the field of psychedelic-assisted therapy, particularly for mental health care advancements.
3. The Numinus offering structure, including common shares and warrants with an Over-Allotment Option, indicates a strategic approach to funding and expanding Numinus’s capabilities in mental health care and therapist training programs.

Numinus Wellness Inc. (TSX:NUMI) entered into an agreement with Eight Capital. This agreement involves a bought deal public offering where Eight Capital and a syndicate of underwriters, including Stifel GMP, will purchase 50,000,000 units at $0.12 each, totaling $6 million.

The units in this offering are composed of one common share and one warrant. Each warrant allows purchase of one common share at $0.18, valid for 24 months after the offering’s closure. Additionally, Eight Capital has an Over-Allotment Option to buy up to 15% more units at the offering price, potentially raising an extra $900,000 within 30 days after the closing date, set for approximately February 7, 2024.

Lead orders for the offering come from Integrated V.C., a venture fund, and the Multidisciplinary Association for Psychedelic Studies (MAPS). Numinus CEO, Payton Nyquvest, states that the funds will support the company’s mental health initiatives. MAPS’s support, as noted by its founder Rick Doblin, Ph.D., includes a focus on therapist training in psychedelic-assisted therapy, particularly experiential training.

The Numinus offering will be conducted through a prospectus supplement to the company’s base shelf prospectus dated June 27, 2023. It will be available in Canada (excluding Quebec) and may also be offered in the United States and other offshore jurisdictions through private placements. This is subject to regulatory and stock exchange approvals, including from the Toronto Stock Exchange (TSX).

This move by Numinus Wellness Inc. indicates a strategic effort to expand its mental health care offerings, particularly in psychedelic-assisted therapies. The involvement of healthcare investors and researchers like MAPS suggests a growing interest and confidence in this field.