Roth Capital Partners to lead NASDAQ listing

Hi all,

Going through the announcement this morning the one thing that really stands out to me is the fact that Roth Capital Partners have signed on to be the sole book-running manager of the offering. I was a shareholder in LKE and Roth raised $20.6 million for LKE at 16.5 cents per share (which was a 12% premium to the 10day VWAP at the time) on the 25th January. That was 5 days after LKE was uplifted from an OTC listing to a full NASDAQ listing. The stock just last week hit its all time high of 68 cents and trades unbelievable volume, in fact it has traded nearly $60 million worth of stock this week. I remember just prior to that the stock couldn't trade through 7 cents when it was capped at about $50 million after it re-rated from 3 cents in about August/Sep 2020. It was capped at about $150m when the 16.5 cent raise was completed and today it is capped at over $700 million fully diluted and from what I can see by percentage return this is the worst deal that Roth have done recently in Australia and that's a 4 bagger!

They were the advisors to Piedmont (PLL) for their NASDAQ listing in June 2020. PLL's ADS's are set on a 1:100 basis.

June 9^th – Prospectus issued

June 12^th – US$13 m (A$18m) raised at US$6.30 per ADS. Ratio of shares per ADS is 1:100

Oct 22^nd – 2m ADS issued at US$25 to raise US$50m (A$70m) (Over 4 times the price in 2 months)

Oct 26^th – They took overs and ended up at A$81m

March 24^th 2021 – Raises A$159m at US$70 per ADS.(11 times the initial raise price in a period of 9 months)

A$258m raised in total.

The only biotech deal I can find they've done in Australia is Imugene Limited (IMU).

They were US adviser to the listing December 2019 to raise $24.6m at 3.6 cents per share.

It's currently 29 cents (8 X the placement) but hit a high of 49.5 cents (14 X the placement) on the 26th May. Even after the pullback its market cap today is over $1.5 billion.

From what I can see here the appointment of Roth is a massive coup by the company and at our current market we are right in the "hitting zone" for Roth to "knock us out of the park".

I can't wait for this listing to occur as there is no doubt in my mind we go higher. The comparative valuations of anything credible in the psychedelic space are multiples of our market cap alone. Have a look at Cara Therapeutics (NASDAQ:CARA) which is capped at US$637 million as I write or A$880 million and tell me our cannabinoid program doesn't stack up against theirs.

And I'm guessing this is the opportunity that Roth see with IHL.

Seriously exciting times,

GLTA,

Ted.