Wellnex Life (ASX: WNX) has secured conditional binding commitments to raise $14.3 million in preparation for its dual listing on the London Stock Exchange’s (LSE) Alternative Investment Market (AIM) next month.
The capital raise has attracted interest from institutional and sophisticated investors in both the UK and Australia through a non-renounceable pro-rata entitlement offer, granting shareholders the opportunity to acquire one new Wellnex share for every share currently held at an issue price of $0.65. Eligible investors may also apply for additional shares should other shareholders be unable to participate due to geographical restrictions.
Strengthening Financial Position
Wellnex expects to meet the required minimum capital commitments, contingent on the successful completion of the listing. The dual listing is projected to deliver cost savings of approximately $1.4 million, primarily through eliminating $12.8 million in debt.
Beyond financial benefits, the AIM listing is expected to enhance Wellnex’s market exposure and credibility as it expands into the European consumer healthcare sector. Admission to the AIM remains subject to regulatory approval and the completion of the capital raise.
A Transformational Step
In a statement, Wellnex emphasized that the dual listing represents a pivotal moment in the company’s history.
“The proposed dual listing on the LSE will provide access to a deeper pool of capital and investors with a strong understanding of consumer healthcare businesses,” the company stated.
“It will enable Wellnex to strengthen its balance sheet and capitalize on the growing market both domestically and internationally. Some of the world’s largest consumer healthcare companies are listed on the LSE.”
Pain Away Acquisition
Proceeds from the fundraising will also be used to settle a deferred payment related to Wellnex’s acquisition of Pain Away, a leading Australian topical pain relief brand.
Since the acquisition in December 2023, Pain Away has significantly bolstered Wellnex’s performance, delivering record revenues exceeding $3 million in November and December 2024. The brand’s extensive product line—comprising 25 different creams, sprays, patches, lotions, and tablets—is available in more than 6,000 pharmacies and grocery stores nationwide.
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