OKYO Pharma announces $2.5mn IPO on Nasdaq Capital Market

LONDON: OKYO Pharma Limited (Nasdaq: OKYO), a life sciences company focused on the discovery and development of novel molecules to treat inflammatory dry eye diseases (“DED”) and ocular pain, announced the pricing of the underwritten initial public offering (IPO) of its American Depositary Shares (ADSs) on the Nasdaq Capital Market.

OKYO will issue 625,000 ADSs (representing 40,625,000 new ordinary shares of no par value (the “Ordinary Shares”)) at a price of $4.00 per ADS raising gross proceeds of approximately $2,500,000 (before deducting underwriting discount, commissions and offering expenses). Each ADS offered represents 65 Ordinary Shares. In addition, OKYO has granted the underwriters a 45-day option to purchase up to an additional 93,750 ADSs on the same terms and conditions. All ADSs to be sold in the Offering will be offered by the Company.

ThinkEquity LLC is acting as the sole bookrunning manager for the Offering. The closing of the Offering is expected to occur on May 19, 2022, subject to customary closing conditions.

OKYO intends to use the net proceeds from this Offering: (i) to advance OK-101 to the filing of an IND to treat DED; (ii) to fund the initial Phase 2 clinical trial of OK-101 in DED patients; and (iii) for working capital and other general corporate purposes.

The 40,625,000 new Ordinary Shares underlying the ADSs, together with an additional 10,000 new Ordinary Shares issued to a US investor (for a residual interest calculation error on the Company’s former convertible loan notes) are expected to be admitted to listing on the standard segment of the Official List of the Financial Conduct Authority (“FCA”) and to trading on the main market for listed securities of London Stock Exchange plc at 8.00 a.m. (BST) on May 19, 2022.

Gabriele Cerrone and Gary Jacob, both directors of the Company, are participating in the Offering for 37,500 and 12,500 ADSs, respectively, for an aggregate subscription of $200,000. Mr Cerrone’s investment was made by Panetta Partners Limited, a company in which he has a beneficial interest.

Total voting rights

Following closing of the Offering, the total number of Ordinary Shares in issue will be 1,415,040,468 and this number may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA’s Disclosure Guidance and Transparency Rules.


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