Edesa Biotech Announces $3.5 Million Private Placement of Common Shares Led by CEO and Healthcare-Focused Investors

Article content

TORONTO, June 11, 2026 (GLOBE NEWSWIRE) — Edesa Biotech, Inc. (Nasdaq: EDSA) (the “Company” or “Edesa”), a clinical-stage biopharmaceutical company focused on developing host-directed therapeutics for immuno-inflammatory diseases, today announced that it has entered into a securities purchase agreement for a private investment in public equity (“PIPE”) financing that is expected to result in gross proceeds of approximately $3.5 million to the Company, before deducting offering expenses payable by Edesa. The common shares were placed without an agent, underwriter, broker or dealer. Investors in the PIPE include Edesa’s Chief Executive Officer and healthcare-focused investors. The PIPE is expected to close on or about June 15, 2026, subject to the satisfaction of customary closing conditions.

Article content

Article content

In the PIPE, the Company is selling an aggregate of 729,241 common shares, at a purchase price of $4.69 per common share for investors and $5.21 per common share for Edesa’s Chief Executive Officer.

Article content

Article content

Article content

Edesa currently expects to use the net proceeds from the PIPE to fund the continued advancement of the Company’s vitiligo program, the Company’s drug candidate, paridiprubart, and for working capital and general corporate purposes.

Article content

The securities described above were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Act”), and Regulation D promulgated thereunder and have not been and will not be registered under the Act, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The securities described above may be offered to “accredited investors” within the meaning of the Canadian National Instrument 45-106 – Prospectus Exemptions. Securities issued in Canada may be subject to applicable Canadian hold periods imposed under applicable securities legislation. Edesa has agreed to file a registration statement with the U.S. Securities and Exchange Commission (“SEC”) registering the resale of the common shares within 45 days of the closing.

Article content

Article content

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or jurisdiction. The Company plans to file a Current Report on Form 8-K with the SEC with additional details of the PIPE. In addition, in Canada, a material change report with respect to the PIPE is expected to be filed less than 21 days before the expected closing date of the PIPE, which is reasonable and necessary in the circumstances for the Company to take advantage of available financing opportunities.

Article content

About Edesa Biotech, Inc.

Article content

Edesa Biotech, Inc. (Nasdaq: EDSA) is a clinical-stage biopharmaceutical company developing innovative ways to treat inflammatory and immune-related diseases. Its clinical pipeline is focused on two therapeutic areas: Medical Dermatology and Respiratory. In Medical Dermatology, Edesa is developing EB06, an anti-CXCL10 monoclonal antibody candidate, as a therapy for vitiligo, a common autoimmune disorder that causes skin to lose its color in patches. Its medical dermatology assets also include EB01 (1.0% daniluromer cream), a Phase 3-ready asset developed for use as a potential therapy for moderate-to-severe chronic Allergic Contact Dermatitis (ACD), a common occupational skin condition. The company’s most advanced Respiratory drug candidate is paridiprubart, which is being developed as a potential treatment for Acute Respiratory Distress Syndrome, a life-threatening form of respiratory failure. The paridiprubart program has been the recipient of two funding awards from the Government of Canada to support the further development of this asset, and is currently being evaluated in a U.S. government-funded platform study. Edesa is also pursuing additional uses for paridiprubart.