Two of Australia's leading listed cannabis players have raised millions in funds to boost their businesses in Australia and overseas.
Botanix Pharmaceuticals (ASX: BOT), a medical dermatology company combatting serious skin diseases with cannabis-based products, has successfully completed an oversubscribed placement to raise $8 million.
The placement resulted in the issue of 72.7 million shares at an offer price of $0.011 per share a discount of 8.3 per cent.
The placement will help the company move into the next stage of research and product development according to Botanix executive director Matt Callahan.
"Botanix is now in a strong position with two fully funded Phase 2 ready programs moving into the clinic, multiple pipeline products progressing into Phase 1b patient studies in the near term and a novel technology platform," says Callahan.
The funds from the oversubscribed placement will be used primarily to advance the group's activities into the next stage.
RotoGro (ASX: RGI), an Australian-based hydroponics company, has also scored a significant injection of capital with $4.56 million raised in its latest fully-subscribed capital raise.
The capital raise will allow RotoGro to fast-track the pursuit of strategic acquisitions in lawful cannabis licenses, nutrients and perishable foods by way of equity ownership or partnership.
The company is also looking at expanding its research and development facility in Caledon, Ontario, Canada, and bolstering its sales and management teams.
Michael Carli, the company's managing director, says the funds will assist the company fulfilling its aspirations.
"Our aspirations to be a leading lawful cannabis and perishable food grower, drawing on our patented and patents-pending technology and proprietary growing management software, sets us apart from all other methods of growing," says Carli.
Business News Australia
Get our daily business news
Sign up to our free email news updates.