Field Trip Closes On $95 Million Supersized Offering

Field Trip Health Ltd. (OTCQX: FTRPF) closed the bought deal offering that brought the company a whopping $95 million. As a result, Field Trip issued 14,661,499 common shares,  at a price of C$6.50 per Common Share, for aggregate gross proceeds of $95 million. The stock was lately trading at C$6.40. The deal was upsized from the originally planned $50 million.

The lead investor in the Offering was Soleus Capital with additional participation by Avidity Partners, Sphera Funds, Pura Vida Investments, Jennison Associates and other healthcare specialized institutional investors.

Joseph del Moral, Chief Executive Officer of Field Trip, said, “Completing this equity financing is an important milestone as we work to build Field Trip into a household name, not only in the amount of growth capital it provides us, but from the support and endorsement provided through the participation of some of the world’s leading healthcare-specialized investors. It is a powerful validation of what we are building at Field Trip.”

Field Trip now has pro forma cash and cash equivalents on hand of $113.7 million. Field Trip said it intends to use the net proceeds for the ongoing development of the “FT-104” novel psychedelic development program, the opening of new Field Trip Health centers, and for working capital and general corporate purposes. Last month, Field Trip reported its earnings with patient services revenues of $316,329 from its Toronto, New York, and Santa Monica clinics, a 235% increase over the second fiscal quarter patient services revenues of $94,532. Net loss for the third fiscal quarter of $8,275,669 was primarily due to general and administration expenses of $2,989,160, listing expenses of $2,131,109 relating to the Transaction, research and development expenses of $1,064,744, patient services expenses of $668,911, sales & marketing expenses of $534,848, depreciation and amortization of $375,745, occupancy costs of $288,452 and realized foreign exchange loss of $454,475. The net loss for the prior year’s third fiscal quarter of $1,055,666 was primarily due to general and administration expenses of $683,604, occupancy costs of $149,380, sales and marketing expenses of $96,391 and research and development costs of $81,113.

“Soleus Capital is pleased to be partnering with Field Trip as a significant investor in their ongoing growth,” said Guy Levy, Chief Investment Officer of Soleus Capital Management. “We believe Field Trip is positioned to establish itself as a global leader in the delivery and development of psychedelic therapies for depression and other mental health indications with high unmet need.”

“Through this financing, we have the balance sheet strength to advance our work with FT-104 — a molecule that, based on its pharmacology and its IP defensibility, we believe is the most exciting in the industry — through a number of value inflection points and to accelerate the rollout of our Field Trip Health centers across North America and Europe, while still having reserves for new opportunities as they emerge,” added Hannan Fleiman, Field Trip’s President and one of its co-founders.

Leave a Reply

Your email address will not be published. Required fields are marked *

Don't Miss This Week's Groundbreaking News

Join the thousands of subscribers who stay informed with GMR's exclusive news briefs delivered directly to your inbox every Friday afternoon.

We respect your privacy. See our privacy policy.


About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


READ MORE



Recent Tweets

@GreenMarketRpt – 3 days

We will be live blogging from all week. Head to the website – link in bio – if you didn’t m…

@GreenMarketRpt – 3 days

⁦@PelorusEquityGr⁩ Upsizes Offering To $1 Billion

Back to Top

Don't Miss This Week's Groundbreaking News

Join the thousands of subscribers who stay informed with GMR's exclusive news briefs delivered directly to your inbox every Friday afternoon.

We respect your privacy. See our privacy policy.