Cilo Cybin Holdings' initial public offering (IPO) to raise R500 million was unsuccessful, leading it to delay JSE listing plans for now.
Cilo Cybin said on Wednesday it had only managed to raise R20.5m and did not meet the JSE Limited minimum capital requirement for a listing.
"The Cilo Cybin board are humbled and express gratitude for the support Cilo Cybin received from the general public during the IPO process. 1892 members of the public subscribed for an aggregate amount of R20.5 million of Cilo Cybin shares.
“Unfortunately, the JSE Limited minimum capital requirement for a listing as a special purpose acquisition company (SPAC) as set out in the Cilo Cybin Prospectus, has not been met within the set timeframe, and the listing on the JSE as a SPAC cannot proceed,” it said.
Due to new developments on the horizon, and the need to be able to respond rapidly to take full advantage of these opportunities, the firm said it would now focus on its growth initiatives and postpone listing to a later date.
Earlier this month, it announced the IPO with plans to acquire and invest in biotech, biohacking or pharmaceutical sector companies in the cannabis, psychedelics, wearable devices and custom nutrition markets. It had identified potential acquisitions in South Africa and the US.
According to Cilo Cybin Holding’s website, the company introduced its first cannabidiol (CBD) products (derived from the cannabis plant) in South Africa in March, including medical devices and supplements, with its CBD products being marketed as smokeable pens and in eyedropper bottles, to promote energy, stimulation, relaxation and assisting with pain and sleep.
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