Adherium Raises $900,000 via Convertible Notes to Expand US Hailie® Platform

Capital Raise to Support US Expansion

Adherium Limited (ASX: ADR), a leader in digital health respiratory devices, has announced a $900,000 capital raise through the issuance of approximately 900,000 convertible notes. This funding round is backed equally by Phillip Asset Management Limited and Trudell Medical Limited, the latter being associated with Adherium director George Baran. The company plans to use these funds primarily to accelerate the roll-out of its proprietary Hailie® Smartinhaler® platform in the United States, alongside general working capital needs.

Convertible Notes Terms and Shareholder Approval

The convertible notes carry a 10% annual interest rate and mature nine months from issuance. Investors have the option to convert these notes into ordinary shares at any time before maturity, with automatic conversion triggered by either a capital raising of at least $5 million or on the maturity date itself. The conversion price is set with a floor of $0.005 per share, ensuring some downside protection for investors. Additionally, for every two shares issued upon conversion, investors receive one attaching option, exercisable until February 2028, with exercise prices designed to reflect future capital raises.

Importantly, the issuance of these notes is conditional on shareholder approval at Adherium’s 2025 Annual General Meeting, scheduled on or before November 5, 2025. Until approval is granted, the subscription amounts are advanced as loans accruing interest, with repayment terms defined should approval not be obtained.

Strategic Implications for Adherium

This capital raise follows a similar convertible note issuance in March 2025, signaling a consistent strategy to fund growth through convertible debt instruments. The focus on the US market underscores Adherium’s ambition to expand its footprint in one of the largest healthcare markets globally. The Hailie® Smartinhaler® platform, which integrates digital monitoring tools for respiratory medication adherence, positions the company well amid increasing demand for connected health solutions.

While the convertible notes provide a relatively flexible financing mechanism, investors should watch for potential dilution effects once conversion occurs. The attaching options add an additional layer of equity upside but also complexity to the capital structure. The upcoming AGM will be a key event to monitor for investor sentiment and the company’s ability to execute its US expansion plans.