Lexaria Bioscience Completes $2 Million Registered Direct Offering with Strategic Investor

Lexaria Bioscience Corp. has completed a registered direct offering of 2,000,000 shares of common stock at $1.00 per share, generating gross proceeds of $2 million. The transaction involved a single institutional investor, with H.C. Wainwright & Co. serving as the exclusive placement agent for the offering. This strategic financing arrangement was executed under a previously filed shelf registration statement that was declared effective by the Securities and Exchange Commission on January 30, 2025.

CEO Richard Christopher emphasized the strategic importance of this offering, noting the company's ability to secure necessary funding during a challenging market period. The deal structure was specifically designed to avoid significant shareholder dilution by limiting warrant issuance to pre-funded warrants, demonstrating the company's commitment to protecting existing shareholder value. This approach reflects Lexaria's careful financial management and strategic planning in navigating complex market conditions.

The net proceeds from this offering are intended to be allocated toward working capital and general corporate purposes, providing the company with additional financial flexibility to pursue its research and development initiatives. This funding comes at a critical time for Lexaria as it continues to advance its innovative DehydraTECH drug delivery platform. The platform has demonstrated significant capabilities in improving oral drug absorption and reducing side effects, representing a potentially transformative technology in pharmaceutical delivery systems.

Lexaria's technology portfolio includes 48 granted patents worldwide with additional patents pending, underscoring the company's commitment to intellectual property protection and technological innovation. The DehydraTECH platform continues to show promise across various potential applications in the pharmaceutical industry. This successful financing round not only provides immediate capital but also validates the company's strategic direction and technological potential in the eyes of institutional investors, positioning Lexaria for continued advancement of its innovative drug delivery solutions in a competitive market environment.