Lexaria Bioscience Secures $4 Million in Direct Offering to Fuel 2026 R&D Expansion

Lexaria Bioscience Corp. has closed a $4.0 million registered direct offering, positioning the company to advance its 2026 research and development initiatives. The global drug delivery platform innovator sold 2,666,667 shares of common stock at $1.50 per share in an offering priced at-the-market under Nasdaq rules. Concurrently, the company issued unregistered warrants to purchase up to 2,666,667 additional shares with an exercise price of $1.37 per share, immediately exercisable and expiring five years from registration effectiveness.

Chief Executive Officer Richard Christopher emphasized the strategic importance of this financing for the company's future direction. This financing is intended to provide Lexaria with greater optionality for our 2026 R&D and business development plans, Christopher stated. Most of our study work requires signed contracts prior to ever beginning, therefore we are constantly evaluating our future funding needs. This financing is intended to allow us to bring our plans for 2026 into focus and execute on R&D, which drives our intellectual property and ultimately the value of our Company.

The capital infusion comes at a critical juncture for Lexaria as it seeks to expand its DehydraTECH drug delivery platform technology. The company plans to allocate the net proceeds toward working capital and general corporate purposes, supporting ongoing research initiatives that form the foundation of its intellectual property portfolio. H.C. Wainwright & Co. served as the exclusive placement agent for the offering, facilitating the transaction that generated approximately $4.0 million in gross proceeds before deducting placement agent fees and other offering expenses.

The offering was conducted under a shelf registration statement on Form S-3 that was declared effective by the Securities and Exchange Commission on January 30, 2025. Investors can access detailed offering documents through the SEC's website at https://www.sec.gov. The concurrent private placement of warrants was executed under Section 4(a)(2) of the Securities Act of 1933 and Regulation D, meaning these securities and the underlying shares have not been registered under federal or state securities laws and are subject to transfer restrictions.

This financing round represents a significant milestone for Lexaria as it prepares for expanded research activities in 2026. The company's focus on advancing its drug delivery technology through systematic research and development underscores its commitment to building long-term shareholder value through scientific innovation and intellectual property development.