Core Points - Burcon NutraScience Corporation announced a non-brokered private placement of convertible debentures for up to $4 million, with insider participation of at least $2 million [1][2] - The convertible debentures will have a principal amount of $1,000, an interest rate of 15% per annum, and a conversion price of $2.27 per share [2][3] - The company plans to use the proceeds to accelerate growth, invest in inventory and production capabilities, and for general corporate purposes [5] Offering Details - The offering is expected to close on or about November 28, 2025, pending regulatory approvals [6] - The convertible debentures will be subject to a four-month and one-day resale restriction under Canadian securities laws [4] - The company may prepay the debentures if the share price exceeds $4.54 for 14 consecutive trading days [3] Loan Agreement - Burcon has entered into a loan agreement for an unsecured loan of $700,000 from a related entity, with a term expiring in four months or upon closing of the offering [10] - The loan bears an interest rate of 12% per annum and will be used for commercial production and as bridge funding until the convertible debentures offering closes [11] - The loan is considered a related party transaction and was approved by independent directors [12][13]

Core Insights - Burcon NutraScience Corporation is transitioning from a technology pioneer to a revenue-generating leader in plant protein innovation, with increased customer engagement and production scaling at the Galesburg facility [2][3]. Operational Highlights - The Galesburg facility achieved its first commercial production of next-generation proteins within 90 days of commissioning, securing a $6.8 million multi-year production agreement [3][4]. - Customer interest surged following the IFT FIRST tradeshow, positioning the company for consistent revenue growth as production ramps up [5][6]. Financial Performance - For the fiscal first quarter ended June 30, 2025, Burcon generated revenue of $342,000, a 44% increase from the same quarter last year, attributed to initial protein sales and contract manufacturing services [7]. - The company reported a net loss of $3.5 million, or $0.27 per share, compared to a net loss of $1.9 million, or $0.26 per share, in the prior year [9][17]. Cash Position and Liabilities - As of June 30, 2025, Burcon had $4.2 million in cash and committed to $1.3 million in payments under its manufacturing agreement for the Galesburg facility [10]. - Total liabilities amounted to $23.4 million, with current liabilities at $4.4 million [15]. Strategic Focus - The company aims to enhance production volumes and process efficiencies while converting its growing customer pipeline into long-term supply agreements [6]. - Burcon is committed to expanding its product portfolio and leading in plant protein innovation, leveraging its versatile production capabilities [6].