Freyherr International plans IPO on NEX Exchange
LONDON: Freyherr International Group plc - a profitable, vertically integrated Medicinal Cannabis Company - has prepared a pathfinder Admission Document and has commenced a book building exercise with a view to raising new money to invest in, and enhance, the company's current activities.
The company is about to apply for admission to trading on the NEX Growth Market and the first day of trading is expected to be 30th July 2019.
Freyherr International Group plc is the UK parent company of a group engaged in the production of medicinal cannabis, cannabis cultivation and the production of cannabis dosing and dispensing packaging. Operations are centred in Slovenia and the Group principally operates within the EU.
The company is making an offer for subscription equal to c 10% of the enlarged share capital and is applying for admission to the NEX Growth Market in London. The proceeds of the subscription are specifically targeted at three main areas of development, all of which are forecast to generate high returns within relatively short periods of time.
Freyherr is looking to invest up to Euro 5.5 million into:
- Freyherr Pharma facility upgrade; expected spend Euro 1.5 million. This is to include new stability chambers, ventilation and further drying units. Once the upgrade has been completed it is anticipated that full GMP pharmaceutical certification could be obtained after approximately 12 months.
- Existing laboratory upgrades, expected to cost approximately Euro 1.0 million. This is primarily for equipment for the analysis of cannabinoid material.
- Purchase of new equipment for improved extraction and distillation, anticipated cost Euro 1.55 million. This will enable de-waxing and crystalisation, giving 99%+ purity.
The balance of any surplus will be used for helping establish standalone medicinal cannabis facilities in southern Europe, from where a number of favourable commercial approaches have been made to the Company.
Together these initiatives will help the Company take advantage of the current demand for medicinal cannabis products and implement a model for pan-European expansion. The offering comprises 2,525,252 Ordinary Shares available for subscription.