SciSparc, a pharmaceutical company, has recently announced that it has entered into a standby equity purchase agreement with YA II PN Ltd., a fund managed by Yorkville Advisors Global.
Agreement Details
According to the terms of the agreement, YA II PN Ltd. has committed to purchasing up to $20 million worth of SciSparc shares over the next thirty-six-month period. However, there is a beneficial ownership cap of 4.99% in place.
Purchase Price and Process
The shares will be sold at a 3% discount of the weighted average price of the company's shares during the three consecutive trading day period that begins on the trading day when an advance notice is delivered by SciSparc.
Flexibility for SciSparc
SciSparc will have the flexibility to sell shares to YA II PN Ltd. at its sole discretion upon the issuance of an advance notice. However, it's important to note that YA II PN Ltd. does not have the right to require the company to sell any shares.
Utilization of Proceeds
Should the offering of shares occur, SciSparc plans to use the proceeds for working capital and other general corporate purposes.
