AdAlta is delighted to offer Eligible Shareholders the opportunity to participate in our non-renounceable rights offer (Offer), as announced to the ASX on Friday, 28 April 2023.
The Offer allows Eligible Shareholders to acquire two (2) new ordinary shares (New Shares) at an issue price of 2.5 cents ($0.025) per New Share for every five (5) shares held by Eligible Shareholders at the Record Date together with one (1) option (New Option) for every two (2) New Shares subscribed, each to subscribe for one (1) additional ordinary share at an exercise price of 3 cents ($0.03) with an expiry date of 29 May 2024, to raise approximately $3.15 million before issue costs.
The Company has received commitments to the Offer or any Shortfall for A$2.49 million of the target amount.
This Offer enables AdAlta to achieve development milestones in 2023 for lead program AD-214, with an early return to clinic under a Phase I extension study. This new study will deliver valuable data which can be used to further inform partnering discussions.
CEO and Managing Director, Dr Tim Oldham commented, “We are pleased with the growing partner interest in this asset as exemplified by more companies executing confidentiality agreements and asking deeper and more sophisticated questions. We are delighted to announce that we will bring AD-214 back to the clinic under a Phase I extension study. This means we can be in clinic making use of available resources and existing drug product earlier than previously anticipated, while cost effectively generating new data to build additional value in the program and for sharing with potential partners.”
For more information on AdAlta’s recent and planned milestones, read our:
- Quarterly Appendix 4C and Activities Report for the March quarter 2023 here;
- AdAlta’s December 2022 Half Year Report here;
- Latest investor presentation update here
You can also watch CEO, Dr Tim Oldham’s recent webinar presentation here and interview with Proactive Investors here to learn more.
About the Offer
The Offer allows Eligible Shareholders to acquire two (2) new ordinary shares (New Shares) at an issue price of 2.5 cents ($0.025) per New Share for every five (5) shares held by Eligible Shareholders at the Record Date together with one (1) option (New Option) for every two (2) New Shares subscribed, each to subscribe for one (1) additional ordinary share at an exercise price of 3 cents ($0.03) with an expiry date of 29 May 2024, to raise approximately $3.15 million before issue costs.
The Offer also allows Eligible Shareholders to apply for additional shares (shares not subscribed for by other Eligible Shareholders) and a Shortfall, enabling the Directors the discretion to place any shares not taken up by Eligible Shareholders under the Offer on the same terms as the Offer.
A Prospectus containing the terms and conditions of the Offer was lodged with ASX on 28 April 2023. Full details of the Offer and how to apply for Offer shares may be found in the Prospectus here. Shareholders should read the prospectus in full prior to making an application under the Offer.
Important – shareholder information
Shareholders can access the Prospectus & acceptance forms from the Company’s Share registry Automic Group, on 1300 288 664 or +61 2 9698 5414 between 8:30am and 5:00pm (AEDT) https://investor.automic.com.au/#/home
Offer Timetable1
| Indicative Capital Raising Timetable* Event | Date |
| Record Date for Offer | Friday, 28 April 2023 |
| Offer opens | Monday, 8 May 2023 |
| Offer closes | 5pm, Monday, 22 May 2023 |
| Allotment & issue of New Shares under Offer | Monday, 29 May 2023 |
| Trading (T+2) of New Shares expected to commence | Tuesday, 30 May 2023 |
Note: 1. Dates/times are indicative and subject to change.
FREQUENTLY ASKED QUESTIONS
Shareholders should read the prospectus in full prior to making an application under the Offer.
| What is the Offer? | Non-renounceable rights issue offer of New Shares and New Option (Offer) |
| What are the terms of the Offer? | Opportunity for Eligible Shareholders to acquire two (2) new ordinary shares (New Shares) at an issue price of 2.5 cents ($0.025) per New Share for every five (5) shares held by Eligible Shareholders at the Record Date together with one (1) option (New Option) for every two (2) New Shares subscribed, each to subscribe for one (1) additional ordinary share at an exercise price of 3 cents ($0.03) with an expiry date of 29 May 2024, to raise approximately $3.15 million before issue costs. |
| Can I sell or transfer my Entitlements? | No, the Offer is non-renounceable and, accordingly, you cannot offer to sell or transfer any of your Entitlement on ASX or via an off-market transfer. |
| Can I purchase Additional Shares at the same price? | Yes, Eligible Shareholders who fully subscribe their Entitlement under the Offer will also have the right to apply for additional shares (Shares not subscribed for by other Eligible Shareholders) at the same price. There is however, no guarantee that you will receive any or all of the additional shares you apply for. Further, if there remains any Shortfall after allocation of the additional shares, the Directors reserve the right to place any Shortfall at their discretion at a price no less than the Offer Price. |
| How will the Additional Shares be allocated? | The Company reserves the right to scale back any applications for additional shares in its absolute and sole discretion. |
| Is the Offer underwritten? | No, however the Company has received commitments to the Offer or any Shortfall for $2.49 million of the target amount. |
| Is there a Minimum and a Maximum Subscription Amount? | There is no minimum or maximum subscription amount. |
| How do the New Shares rank in comparison to existing Shares? | All New Shares issued under the Offer (including the Shortfall) will rank equally in all respect of existing Shares from the date of their issue. |
| Who can invest? | Eligible Shareholders of the Company as at 5.00 pm AEDT pm (AEDT) on the Record Date of Wednesday, 3 May 2023. |
| How many shares are being issued under the Offer? | If fully subscribed, the Offer will result in the issue of 126,150,371 new ordinary shares and 78,075,185 options (including options issued to the lead manager). |
| What are the control effects of the Offer? | The effect of the Placement and Offer on the control of the Company will vary with the level of Entitlements and Additional Shares taken up by Eligible Shareholders under the Offer. |
| What are my choices? | As an Eligible Shareholder you may: – take up all of your Entitlement under the Offer (and if you have taken up all your Entitlement, you may also apply for additional shares); or – exercise only a portion of your Entitlement and allow the balance to lapse; or – do nothing, in which case all of your Entitlements will lapse and you will receive no value for those lapsed Entitlements |
| I can’t work out how to apply, who should I contact? | Shareholders can access Prospectus & acceptance forms from the Company’s Share registry Automic Group, on 1300 288 664 or +61 2 9698 5414 between 8:30am and 5:00pm (AEDT). Shareholder queries relating to the Offer can be emailed to AdAlta’s Company Secretary, Cameron Jones or to ir@adalta.com.au. |
To download your entitlement and acceptance form you have the following 3 choices:
| I already have an online account with the Automic Share registry | I don’t have an online account with Automic – but wish to register for one | I don’t have an online account with Automic – but want to use Automic for this Offer only |
| https://investor.automic.com.au Select: “Existing Users Sign In” Once you have successfully signed in, click on “Documents and Statements” Download the prospectus and entitlement and acceptance form | https://investor.automic.com.au/#/signup Select: Adalta Limited from the dropdown list in the ISSUER field Enter you holder number SRN / HIN (from your latest Holding Statement) Enter Postcode (Aust only) or Country of Residence (if not Australia) Tick box “I am not a robot”, then Next Complete prompts Once you have successfully signed in, click on “Documents and Statements” Download the prospectus and entitlement and acceptance form | https://investor.automic.com.au/#/loginsah Select: Adalta Limited from the dropdown list in the ISSUER field Enter you holder number SRN / HIN (from your latest Holding Statement) Enter Postcode (Aust only) or Country of Residence (if not Australia) Tick box “I am not a robot”, then Access. Once you have successfully signed in, click on “Documents and Statements” Download the prospectus and entitlement and acceptance form |
If you are unable to access https://investor.automic.com.au online, you can obtain a copy of the prospectus and your entitlement and acceptance form – initially by calling Automic Group on 1300 288 664 or emailing hello@automicgroup.com.au and asking them to mail a paper copy of the prospectus and your entitlement and acceptance form to you free of charge. After your request has been acknowledged by Automic you will need to provide your SRN or HIN and postcode to complete this request. To accept an Offer using these paper copy documents, you will still need to make payment via BPay® or via Electronic Funds Transfer (EFT). For New Zealand shareholders please follow the instructions on the entitlement and acceptance form to make payment via Electronic Funds Transfer (EFT).