Argent BioPharma Issues 25M Shares in $15M AusCann Acquisition

Strategic Acquisition to Expand Global Footprint

Argent BioPharma Ltd (ASX – RGT) has taken a decisive step in its growth trajectory by entering into a binding term sheet to acquire key assets from AusCann Group Holdings Ltd (AC8). This acquisition includes the exclusive rights to the Neuvis® proprietary drug delivery platform, alongside equity stakes in CannPal Animal Therapeutics and ECC Pharm. Valued at USD 15 million through the issuance of 25 million shares, the deal is poised to complete in Q4 2025, pending shareholder approval.

The acquisition is more than a simple asset transfer; it represents Argent’s ambition to build a fully integrated pharmaceutical platform with a global reach. The Neuvis® platform’s patented drug delivery technology, combined with validated preclinical data and EU-GMP manufacturing infrastructure, aligns closely with Argent’s lead products, CannEpil® and CimetrA®. This synergy is expected to enhance formulation capabilities, improve drug bioavailability, and reduce production costs, positioning Argent competitively in both clinical and commercial arenas.

Clinical and Commercial Milestones

Beyond the acquisition, Argent has marked significant progress in its clinical programs. The company commenced formal supply of EU-GMP cannabinoid-based active pharmaceutical ingredient (API) to the University Medical Centre Ljubljana, transitioning from pilot to routine hospital use. This milestone not only validates Argent’s clinical data and manufacturing quality but also opens avenues for expanded API supply across European hospitals treating drug-resistant epilepsy.

Further bolstering its clinical credentials, Argent announced positive results from an independent in vivo study conducted by the University of South Florida. The study demonstrated ArtemiC™’s ability to significantly improve survival rates and reduce inflammation in a severe viral model, reinforcing its potential as a nano-formulated immunomodulator without immunosuppressive effects. This scientific validation supports AMC Pharma’s U.S. commercial strategy and ongoing health policy engagements.

Additionally, a peer-reviewed case study published in the International Journal of Clinical Medicine & Case Reports highlighted CannEpil®’s therapeutic impact on a pediatric patient with Lennox-Gastaut Syndrome, a severe form of treatment-resistant epilepsy. The documented improvements in seizure control and quality of life underscore the value of pharmaceutical-grade cannabinoid isolate formulations over traditional botanical preparations.

Financial Position and Outlook

On the financial front, Argent refinanced 400,000 notes from its 2020 convertible notes facility with Mercer Street Capital Partners, amending the minimum conversion price and converting these notes into over 3.3 million ordinary shares. Operating outflows for the quarter totaled A$1.152 million, primarily driven by staff costs and research and development activities. The company ended the quarter with a modest cash balance and available financing facilities, reflecting a cautious but stable financial footing as it advances its strategic initiatives.

Overall, Argent BioPharma’s September quarter report paints a picture of a company transitioning from clinical-stage development to a more integrated pharmaceutical entity with enhanced manufacturing capabilities and a clear path toward U.S. market entry. The acquisition and clinical validations provide tangible momentum, while financial maneuvers aim to underpin this growth phase.