Suda Pharmaceuticals Ltd. is looking to raise up to A$3.4 million in a rights offering.

The Osborne Park, Western Australia-based drug delivery company is offering renounceable rights issue on a one for three basis, priced at 0.4 Australian cents per fully paid ordinary share.

Each two new shares subscribed under the transaction will come with one listed option exercisable for 1.5 Australian cents apiece until June 30, 2021.

Suda Pharmaceuticals will use the proceeds to strengthen its balance sheet, fund project development and address general working capital requirements.

The acceptance of offers will close June 21.