Lexaria Closes $5.9 Million Warrant Exercise

Lexaria Bioscience completed the cash exercise of 453,969 outstanding warrants at a reduced price of $12.92 per share, generating approximately $5.9 million in gross proceeds before fees and expenses. In connection with the transaction, the company issued an equal number of immediately exercisable Series A and Series B warrants, each priced at $12.67 per share; the Series A warrants expire after five years, while the Series B warrants expire after 18 months from the applicable registration date. Lexaria said it expects to use the net proceeds for working capital, operations and research and development, alongside a recently received $2.6 million Australian tax rebate. The company develops its DehydraTECH drug-delivery platform, which is designed to improve the absorption and delivery of orally administered pharmaceuticals and other bioactive compounds.