Willow Biosciences Inc. announces investment from Kalsec
by CM Staff
Proceeds from the Financing will be used for the commercialization and development of the Company's pipeline of products, including natural food ingredients, working capital, and general corporate purposes.
CALGARY — Willow Biosciences Inc., a biotechnology company focused on improving industrial manufacturing of functional ingredients, announces a strategic investment from Kalsec® Inc., a producer of natural taste and sensory, food protection, colors and advanced hops ingredients for the food and beverage industry, for the continued development of natural food ingredients. This non-brokered equity private placement, which is expected to be the first tranche of financing should certain development milestones be met, comes with initial proceeds of US$100,000. Proceeds from the Financing will be used for the commercialization and development of the Company’s pipeline of products, including natural food ingredients, working capital, and general corporate purposes.
“We appreciate the trust Kalsec has in Willow and are delighted to welcome them as a partner and now as an investor as we advance development of multiple savory food and beverage ingredient targets,” said Dr. Chris Savile, Willow’s President & CEO. “We are delighted to expand our partnership with Kalsec to help bring the best products possible to Kalsec’s customers with a keen focus on market-leading innovation and sustainability.”
Pursuant to the Financing, the Company issued 1,359,856 units at a subscription price of C$0.10 per Unit, each Unit consisting of one (1) common share in the capital of the Company and one-half of one (1/2) Common Share purchase warrant.
Subject to the completion of an operational milestone by Willow to develop a strain that meets certain performance criteria, Kalsec agreed to subscribe for and purchase an additional US$100,000 of Units at a price per Unit equal to the greater of: (a) $0.10; and (b) a discount of 10% to the volume weighted average trading price of Common Shares on the TSX for the five business days ended on the completion date of the Milestone. If the Milestone is achieved, the Company will issue a press release confirming details of the Additional Investment.
