Khiron Life Sciences Announces Overnight Brokered Offering

Colombian cannabis producer Khiron Life Sciences Corp. (TSXV: KHRN) (OTCQX: KHRNF) has launched an underwritten overnight public offering of the company’s units. Each unit will consist of one common share of the company and one common share purchase warrant of the company, with each unit warrant being exercisable to acquire one common share for a period of 24 months following the closing date of the offering.

The offering will be marketed by a syndicate of underwriters led by Canaccord Genuity Corp. and will be priced and sized in the context of the market, with such terms including the offering price of the units and the exercise price of the warrants to be determined at the time of entering into an underwriting agreement for the offering.

The underwriters will be granted an over-allotment option to purchase up to an additional 15% of the units offered pursuant to the offering on the same terms and conditions for a period of 30 days following and including the closing date of the offering. The over-allotment option may be exercised by the underwriters to acquire units, unit shares and unit warrants.

Khiron will apply to list the unit shares and the warrant shares to be issued upon exercise of the unit warrants on the TSX Venture Exchange (TSXV). The listing will be subject to Khiron fulfilling all of the requirements of the TSXV.

The net proceeds of the offering will be used for general corporate and working capital purposes. Closing of the offering will be subject to a number of customary conditions such as, receipt of all necessary regulatory approvals and stock exchange approvals, including approval of the TSXV and the entering into of an underwriting agreement with the underwriters.

The offering is being made in the provinces and territories of Canada except Quebec, and in the United States on a private placement basis compliant with exemptions from the registration requirements of the United States Securities Act of 1933. The units will be offered in each jurisdiction through those underwriters or their affiliates who are registered to offer the units for sale in such jurisdiction and such other registered dealers as may be designated by the underwriters.

The Offering is expected to close on June 10, subject to the satisfaction of customary closing conditions and the receipt of regulatory approvals, including the approval of the TSXV. The offering will be conducted pursuant to a prospectus supplement to the company’s existing Canadian base shelf prospectus dated May 21, 2021filed with the securities regulatory authority in each of the provinces and territories of Canada.