Psychedelics company Reset Mind Sciences will continue operating as a subsidiary of Little Green Pharma after abandoning a planned capital raise and its proposed listing on London's AIM stock exchange.
The decision follows AIM's determination that UK funds are prohibited from investing in psychedelic-assisted psychotherapy (PAP), given the treatment remains unlawful in the country, leaving Reset with no viable path to a UK listing at this time.
LGP told the ASX: "While disappointing, the company believes that with the rapid advance of psychedelics globally, PAP services will be legal in the UK in the near term at which time the company will re-engage with regulators."
Those who participated in the offer will receive full refunds.
Melodiol Global Health
Melodiol Global Health has secured firm commitments for a A$1.08 million capital raise through the issuance of approximately 106 million shares at $0.01019 cents per share.
The company told the ASX that the proceeds will go toward funding "near-term growth opportunities across select business units, corporate costs (including the potential restructure or sale of businesses representing less than 10% of overall group revenue in order to accelerate profitability), general working capital and costs of the offer".
Toward the end of last year, the company moved to wind back non-core assets across its portfolio, which included a "temporary pause" on operations at Halucenex, Sierra Sage Herbs, and impACTIVE.
It added: "Melodiol remains focused on accelerating a cash flow positive state via execution at both Mernova and Health House International, which represented 93% of group revenue (based on Q3 FY23)."
The company also said it "continues to entertain possible additional sources of capital… and possible divestment of non-core and core assets."
AusCann
AusCann has pulled a Share Purchase Plan (SPP) that was announced in January, which had been intended to raise A$1 million to cover operating expenditure, working capital, and costs tied to the company's readmission to the ASX.
AusCann shares have been suspended from trading since August 2022.
In a statement to the ASX, AusCann said the board "decided to withdraw the SPP offer due to the potential implications the capital raising may cause for the company should [it] apply to undertake a re-compliance with Chapters 1 and 2 of the ASX Listing Rules".
A supplementary prospectus will be issued to formally close out the SPP offer, and all application monies already received will be returned to investors in full.
Elixinol Wellness
Elixinol Wellness has signed a binding purchase agreement with AltMed Pets to sell its minority stake in the US-based company, which operates under the Pet Releaf brand.
Subject to financing, the transaction is expected to generate approximately A$2.3 million in cash before April 30, which Elixinol said it intends to deploy toward "organic and inorganic growth opportunities".
