Immuron Ltd (NASDAQ:IMRN, ASX:IMC) has secured an At-the-Market (ATM) funding facility with HC Wainwright and Co LLC, which will provide the Australian biotech with around US$2 million in funding.
Access to US funding
The company has filed a Form F-3 registration statement and ATM prospectus with the United States Securities and Exchange Commission (SEC).
The Form F-3 allows Immuron, as a 'foreign private issuer', to raise up to US$15 million in the United States over a three-year period.
This supersedes the company's recently expired US$100 million Form F-3 announced on April 9, 2019.
The Form F-3 maintains Immuron’s flexibility with direct access to US capital markets.
ATM funding facilities are widely used in the US and are becoming commonplace in Australia.
Immuron will control major aspects of the placement process, including the discretion to use the ATM, the number of American Depository Shares (ADSs) issued and the minimum issue price of the ADSs.
The ATM facility sits within the ASX Listing Rule 7.1 framework for share issuance.
About ATM facilities
ATM facilities are a type of equity offering that provide publicly traded companies with a mechanism to raise capital at prevailing market prices.
Unlike traditional secondary offerings, which involve issuing a large block of shares all at once, ATM programs enable companies to raise capital incrementally over a specified period, at market prices.