Incannex has announced it will be relocating to Delaware, United States from Australia.
A newly formed Delaware corporation called Incannex Healthcare Inc. will now become the parent company of the group.
The company has stated that the move will give Incannex improved access to large pools of lower-cost equity capital over the long term, improve its investor base, increase alignment with prominent pharmaceutical companies, provide a simplified corporate structure for any future potential merger or acquisition transactions and give enhanced access to FDA resources.
CEO and Managing Director of Incannex, Joel Latham, said: “The Board is excited to enact this landmark unanimous decision in conjunction with our key shareholders and other stakeholders.
“It is a decision made with the intention to maximise shareholder value. Incannex has matured on the ASX to the point that it has a large and diversified drug portfolio with two exciting drug candidates imminently entering pivotal clinical trials.
“By committing our presence to the United States, we believe that our company’s visibility to international investors will increase markedly, partly due to our value proposition compared to similar emerging biotech companies with a presence in North America.
“Having all Incannex shares in the Company trading on NASDAQ will facilitate a cohesive single market with the appropriate level of liquidity expected by the US investment banks, some of which have commenced the process to initiate independent research coverage on Incannex.”
Incannex has already achieved registration of its ordinary shares from the US Securities and Exchange Commission (SEC). Since February 2022, Incannex’s ordinary shares, in the form of American Depository Receipts (ADRs), have been trading in the United States since gaining Nasdaq Global market listing status. Each ADR represents 25 ordinary shares of Incannex.
Should the Schemes be approved by shareholders, all shareholders will be holders of shares of common stock of Incannex Healthcare Inc., the new parent company incorporated in Delaware, which will be listed on Nasdaq.
Shares of common stock of US companies are tradable on all major share trading technology platforms in Australia, aiding trading liquidity. Furthermore, IHL will not delist from ASX until all relevant approvals from the SEC and Nasdaq to trade shares of common stock in Incannex Healthcare Inc. in the US have been obtained.
The announcement was shortly followed by a confirmation from Incannex that it has engaged Fortrea as the contract research organisation for the management of its IND opening Phase 2/3 clinical trial investigating IHL-42X for the treatment of OSA.