SynBiotic SE successfully issued 158,479 additional shares on May 12, 2023. SynBiotic Group is Europe’s largest, publicly-listed cannabis business.
The subscription price for the new shares was 6.31 euros. As a result, the capital rises by €1,000,000. Additionally, on April 21, 2023, the Board of Directors resolved to gradually offer interested investors convertible bonds worth up to 1.5 million euros. The company’s liquidity is on a strong position. Firstly, thanks to planned profitability of its subsidiaries in the second quarter. Secondly by the total flow of funds from the capital increase and convertible bonds, resulting in 2.5 million euros.
Comments on SynBiotic new shares announcements
Lars Müller, Managing Director, stated that with this financing and expected profitability of their portfolio companies in the second quarter, the company is stable economically for the long term. They’ll keep up their plan to grow the medical cannabis industry while reducing costs.
Müller also voiced interest for the German government’s complete draft cannabis legalization law, particularly for the first pillar. On the basis of this legislation, SynBiotic SE plans to modify its strategy. They perceive huge potential for profit despite restriction to private cultivation and supply through nonprofit groups. Also, they are aggressively seeking partnerships with reasonable partners to improve their market position. Cuttings, seeds, and cultivating tools will be in high demand according to intentions.
Future of SynBiotic
SynBiotic SE is in the position to supply individuals and collective agricultural associations because of their 20 years of hemp cultivation experience. Additionally, they can offer advice to individuals and projected cannabis clubs regarding setup, administration, security, health and children protection, and quality, all of which are essential and required.
With a buy-and-build investment strategy that is centered on the EU, SynBiotic SE is the largest publicly listed company group in the hemp and cannabis industries in Europe. With a primary focus on research and development, production, and marketing of cannabinoid and terpene-based solutions for significant social issues like pain, sleep, and anxiety, the company covers the whole supply chain from cultivation to production and sale. SynBiotic SE is involved in the nutritional supplement and cosmetics industries in addition to the medical and recreational cannabis markets.