Zelira Therapeutics Ltd (ASX:ZLD, OTCQB:ZLDAF), a global leader in cannabinoid-based biopharmaceuticals, has announced it has secured a $650,000 research and development (R&D) loan facility with RH Capital Finance Co., LLC (Rocking Horse Capital). The loan agreement will provide Zelira with additional capital to advance its R&D initiatives and bolster its R&D tax incentive claim for the financial year ended 30 June 2025 (FY25). Zelira is focused on developing and clinically validating branded cannabinoid-based medicines in its prescription business for the treatment of a variety of medical conditions. The company also offers over the counter products.
The facility is secured against the anticipated R&D Tax incentive rebate for FY25 and the funds will be used to support the advancement of the HOPE SPV clinical trial and for general working capital purposes. The facility limit is less than 80% of the estimated R&D Tax Incentive for FY25, based on eligible expenditure calculations up to 30 April 2025. The agreement is expected to enhance the company’s short-term cash position and support its working capital requirements.
The loan carries an interest rate of 17% per annum. The repayment date is set for the earlier of 21 business days after the ATO issues the borrower’s notice of assessment for its R&D Tax Incentive, or 30 November 2025.
Dr Oludare Odumosu, Global Managing Director & CEO, commented that the loan facility, secured against the R&D rebate, is an attractive form of non-dilutive funding for Zelira. The company is pleased to have worked with Rocking Horse Capital on this straightforward and effective debt facility.
