Here is a different take on the finance deal on how it actually works.
As far as ARENA goes. They do very much indeed use their own money to buy the shares Incannex issues them. They will soon own about 1,800,000 shares in Incannex after the first trenche, and they will need the SP to improve strongly and liquidity to improve enormously and or a liquidity event in order to make money on the deal. They are a multi billion dollar institution so I imagine they did significant due diligence. (very recent due diligence which I imagine included the APIRx deal and going over ALL redomicile documents).
Keep in mind it is a staged deal and it is at Incannex's discretion as to weather they take all 3 trenches and or use the 50m ELOC.
Yes it stings raising money at these levels, no one is happy about it, but above is how it works. ARENA buys the shares.
Have a read of this below, gives you an idea of our sector over the last three years, money is hard to come by.
Yes some of the money will be used for Corporate costs, there are 10 plus staff working there, they are corporate costs/general day to day running costs.
https://www.nature.com/articles/s41587-024-02357-2As far as a class action goes - I would suggest that this is rubbish. The company lodged a 200 plus page document outlining everything that happened including directors getting shares in the lead up to us doing the redomicile, we all voted on it an hence it happened. I am certainly not saying I am happy with some of it, but to claim we were not aware of it, would be very hard to prove.
I also find it hard to believe that ARENA would get involved, a company with 3.5billion under management without their legal team making sure there are no lose ends in any recent moves Incannex has made.
Take my post however you like, I am not sticking up for anyone or anything, I am down heaps $$ wise like many, but facts are facts and I would hate to see more people get further burnt by being influenced by false posts. We all need to realize we want the same thing. That is for us to get good results and start seeing things turn around.
We will get 10k by the 30th September, which I think we are all looking forward to reading.
I wish us all good luck with things hopefully turning the corner soon on the back of good trial results, and hopefully interest rates dropping in the US, resulting in some more interest in spec biotech.
