PMGC Holdings Inc. Announces $1.67 Million in Gross Proceeds from Warrant Inducement Agreement with Institutional Investors

PMGC Holdings Inc. has raised $1.67 million from the exercise of warrants by institutional investors. The warrants were issued on January 27, 2025, and the gross proceeds will be used to purchase an aggregate of 827,900 shares of the company's common stock at an amended exercise price of $2.015. The closing of the transactions is expected to occur on or about August 25, 2025. In consideration for the exercise, the company will issue new warrants to the investors.

PMGC Holdings Inc. (NASDAQ: ELAB) has successfully raised approximately $1.67 million through the exercise of outstanding warrants by institutional investors. The warrants, issued on January 27, 2025, were exercised at an amended price of $2.015 per share, resulting in the purchase of 827,900 shares of the company's common stock. The closing of these transactions is expected to occur on or about August 25, 2025 [1].

In exchange for the exercise of these warrants, PMGC Holdings has agreed to issue new unregistered warrants to the investors. These new warrants allow the purchase of an additional 827,900 shares at an exercise price of $1.89 per share. The company has committed to filing a registration statement with the SEC within 30 days to facilitate the resale of shares issuable upon the exercise of the new warrants [1].

The transaction underscores PMGC's strategic use of its existing relationships with institutional investors to raise capital efficiently. The 6.3% discount on the new warrants compared to the current exercise price provides these investors with potential future upside while providing PMGC with immediate capital. Univest Securities, LLC is serving as the exclusive financial advisor for the transaction, indicating a coordinated effort rather than an opportunistic exercise of existing warrants [1].

While the $1.67 million raise is modest, it provides additional operating runway for PMGC, a diversified holding company. However, the continuous issuance of warrants could lead to dilution concerns if these financial instruments are repeatedly used for capital raising. The strategic deployment of these funds across PMGC's portfolio of investments will determine whether this capital raise creates meaningful value for shareholders [1].

References:
[1] https://www.stocktitan.net/news/ELAB/pmgc-holdings-inc-announces-1-67-million-in-gross-proceeds-from-w8q170hevfyu.html