BetterLife Pharma Inc. (CSE: BETR) has closed a public offering that raised approximately US$100 million, with total gross proceeds of CDN$138.75 million, to fund clinical development of its lead drug candidate.
The company issued 447,041,840 common shares at a price of CDN$0.25 per share, alongside 107,958,160 pre-funded warrants priced at CDN$0.24999 each. Pre-funded warrant holders may acquire one common share for an exercise price of CDN$0.00001 per share, exercisable at any time after issuance. Following closing, BetterLife reported 618,007,179 common shares and 107,958,160 pre-funded warrants outstanding.
Deep Track Capital led the offering, with co-investment from Coastlands Capital, Marshall Wace, RA Capital Management and Perceptive Advisors. Additional participants included Adage Capital Management, Affinity Asset Advisors, Kalehua Capital, Sphera Fund Management, Squadron Capital Management, Stonepine Capital Management and Woodline Partners LP. Bloom Burton Securities Inc. and Haywood Securities Inc. served as agents and underwriters. The company paid a cash commission of US$6.9 million, equal to 7.0% of gross proceeds, and issued 38,284,189 broker warrants exercisable at CDN$0.25 per share until September 17, 2029.
The prospectus for the offering was filed on September 11, 2026. An over-allotment option covering up to 15% of the offering remains exercisable until October 17, 2026; if exercised in full, total gross proceeds would reach approximately US$115 million.
BetterLife plans to use the net proceeds to conduct Phase 1A studies in healthy volunteers, Phase 1B clinical trials for cluster headache and migraine, and Phase 2 trials for both indications, with the remainder allocated to working capital and general corporate purposes.
The company is developing BETR-001, a non-hallucinogenic derivative of lysergic acid diethylamide (LSD), currently in preclinical and IND-enabling studies for neurological disorders.
