SQI Diagnostics Inc. launched a private placement to raise gross proceeds of about C$4 million.
The company plans to sell up to 40 million units at 10 Canadian cents apiece.
Each unit consists of one common share of the company, along with one warrant to purchase one common share. Warrants can be exercised within five years for 13 Canadian cents per share.
The Toronto-based healthcare equipment company expects three insiders to subscribe up to 3 million units for C$3 million in gross proceeds under the placement.
The placement may close in one or more tranches; the first tranche is expected to close on or about Sept. 25.
SQI Diagnostics, which offers testing services that include detecting and quantifying proteins, antibodies and DNA, intends to use proceeds to fund product commercialization and manufacturing programs, sales and marketing as well as for general working capital purposes.
