In the past two years, pharma-tech start-up InnoCan Pharma has produced not only ground-breaking experimental results on its cutting-edge CBD-loaded smart delivery platforms but also considerable stock value, now the company just secured an $8.2 million CAD investment
This week, following InnoCan’s significant growth on global stock exchanges, the company reported it has entered into an agreement allocating over 9.6 million shares in a private acquisition deal worth C$8.2 million dollars with institutional investors. This is the first time that an American institutional player invests in the Canadian Israeli company, opening the door for further penetration into the American Pharma and Derma markets. The prominent agreement equally serves as evidence that the world’s largest financial players entrust InnoCan with substantial funding.
According to the deal, InnoCan Pharma’s shares will be purchased at a bulk reduced price of C$0.85 and sold at C$1.10 per share. An American investment firm, Alliance Global Partners (A.G.P.), acted as the exclusive placement agent for the private shareholders in the United States (not offered for sale in Canada). Due to InnoCan’s growing value, the transaction’s mandatory price lock exhibits extensive trust in the company’s future.
Earlier this month, InnoCan’s research and scientific team announced their latest achievement – displaying the company’s signature CBD-loaded liposome technology and how its method of injecting CBDs into the bloodstream prolongs (by at least three weeks) its curative abilities compared to oral ingestion of CBDs. Currently, the United States does not constitute a standard national policy regarding CBDs and other cannabis-related products. As InnoCan continues to research and develop its cutting-edge CBD technologies and products, the company is preparing for a prospective change in policy that will broaden its commercialization efforts – especially in the healthcare industry.
In 2018, InnoCan Pharma Corporation was established by some of Israel’s leading biotech and pharmaceutical executives, including Ron Mayron, Executive Director and former CEO of Teva Israel (NYSE: TEVA) and Yoram Drucker, founder of InnoCan as well as NASDAQ-listed Pluristem (PSTI) and Brainstorm (BCLI). The company is led by experienced healthcare executive CEO Iris Bincovich; InnoCan also features an impressive Advisory Board, recently adding former Johnson & Johnson Vice President of Corporate Development & FDA Counsel Richard Serbin and leading healthcare executive and entrepreneur Peter Bloch of the Canadian start-up BresoTec Inc. InnoCan strategically holds vital partnerships with Israel’s leading research universities and labs, such as The Hebrew University of Jerusalem and Ramot Lab at Tel Aviv University.
Over the past year, InnoCan Pharma’s stock, listed on the Canadian Securities Exchange (CSE: INNO), Frankfurt Stock Exchange (FSE: IP4), and OTC Markets (OTCQB: INNPF), has grown over 650%. Investors should know this is directly linked to the company’s constant and consistent successful experimental results per its CBD-loaded liposome (“LPT”) and exosome (“CLX”) smart delivery platforms, which target damaged cells in the central nervous system (CNS). Liposomes are tiny bubbles, or vesicles contrived of the same components found in cell membranes. When filled with remedial chemicals or drugs, they can transport and provided need therapy to impaired areas. In the case of exosomes, made of extracellular vesicles, they have the ability to affect cell behavior – stabilizing once deteriorated lung cells. During COVID-19, InnoCan enhanced its research to repair cells damaged by the virus.
The new agreement demonstrates InnoCan Pharma’s long-term investment potential after its latest notable growth in market value as well as key Advisory Board additions. As of today, the company’s founders have not sold even one share so far. A move to reassure long-time shareholders and prospective investors that the company is heading towards scientific commercialization since the investment funding will serve both the R&D as well as marketing ventures in the United States, Europe, and relevant countries around the world.
As more and more promising Israeli hi-tech and innovative start-up companies emerge and yield immense investment, InnoCan Pharma has already delivered. The company’s recent procurement of an investment deal worth over $8.2 million dollars (CAD) for U.S. shareholders presents the company and its founders with a strategic and secure path for the coming years. Due to InnoCan’s current stock value, some investors may be concerned that the asset has reached its capacity, this multi-million-dollar entrance into the American market assures us otherwise.
Disclosure: This article is written by Joshua Horowitz. I was paid by the company to write an independent analysis of the company. I may benefit from any increase in the share price I will not advise as to when I decide to buy or sell and does not and will not offer any opinion as to when others should sell; each investor must make that decision based on his or her judgment of the market.
