MYND Life Sciences Announces Proposed Share Issuance to Remove Debenture and $3.440 M in debt on business

Rhea-AI Summary

MYND Life Sciences (CSE: MYND) (OTCQB: MYNDF) announced a proposed issuance of 4 million shares at $0.71 per share to eliminate $3.5 million in debt, including an outstanding debenture. The debenture was originally issued to support the company's development of a diagnostic biomarker for major depressive disorder (MDD), Phase 2B Alzheimer's trial, and IL-33 biomarker for cancer monitoring. The company is now focusing solely on developing the MDD diagnostic biomarker. The new shares will be subject to a four-month hold period from issuance, pending regulatory approval.

Positive

• Debt reduction of $3.5M through share issuance
• Strategic focus refinement to MDD biomarker development
• Balance sheet restructuring to improve financial flexibility

Negative

• Shareholder dilution through issuance of 4M new shares
• Discontinuation of Alzheimer's and cancer biomarker programs

News Market Reaction

+440.00%

1 alert

+440.00% News Effect

On the day this news was published, MYNDF gained 440.00%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Vancouver, British Columbia--(Newsfile Corp. - November 12, 2024) - MYND Life Sciences (CSE: MYND) (OTCQB: MYNDF) ("MYND" or the "Company") a clinical-stage life sciences company committed to the development and commercialization of a biomarker tool for monitoring depression, today announced that subject to regulatory approval, it is proposing to issue 4 Million shares @ 0.71 per share to move $3.5 Million from its balance sheet, including the full restructure of an outstanding debenture on the business.

"We are pleased to announce this important agreement to restructure our balance sheet to enhance both current and prospective shareholder value and to align with our strategic goals of optimizing our capital structure," MYND Life Sciences CEO, Colin Campbell commented. "Our updated corporate profile will not only benefit current and future shareholders but also help us push forward with the important task of developing the potentially first biomarker test to market for diagnosing and monitoring those battling major depressive disorder (MDD)" he added.

The removal of the debenture represents a total value of $3.5M. This debenture was originally issued to provide MYND with the necessary resources to support its progress on a diagnostic biomarker for major depressive disorder (MDD), a move to a Phase 2B trial for an Alzheimer's treatment, and to support its work on an Interleukin-33 ("IL-33") biomarker for cancer monitoring and prognosis. The removal of the debenture reflects MYND's updated focus on solely developing the diagnostic biomarker for depression and is also part of their ongoing commitment to maintaining a strong and flexible financial position. In exchange for the elimination of this debt, 4 million shares at $0.71 per share have been granted to debenture holders. These shares will be subject to a four-month hold period from the date of issuance.

About MYND Life Sciences (MYND)

MYND Life Sciences Inc. is a clinical-stage life sciences company focused on the development and commercialization of a proprietary biomarker test which is labeled as the MYND Anti-Inflammatory Peptide test or "MAP". This biomarker test is aimed at diagnosing and monitoring depression by tracking neuroinflammation which is thought to be a significant factor in Major Depressive Disorder (MDD) and treatment-resistant depression. MYND's proprietary biomarker for depression will drive personalized patient management strategies leveraging MYND's unique IP which provides potential for near-term revenues. MYND is developing this test with the goal of being the first test to market of its kind, targeting depression, where there is a tremendous unmet need. For more information, you can visit www.myndsciences.com.

For more information please contact:

Colin M. Campbell
Email: ir@myndsciences.com
Phone: 604-561-6246
Web: www.myndsciences.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/229747

FAQ

How many shares is MYND Life Sciences (MYNDF) proposing to issue in November 2024?

MYND Life Sciences is proposing to issue 4 million shares at $0.71 per share.

What is the total debt amount MYND Life Sciences (MYNDF) aims to remove through the share issuance?

The company aims to remove $3.5 million in debt, including an outstanding debenture, from its balance sheet.

What is MYND Life Sciences (MYNDF) current primary focus?

MYND Life Sciences is now focusing solely on developing a diagnostic biomarker for major depressive disorder (MDD).