Rhythm Biosciences Limited (ASX: RHY), a company focused on developing and commercialising Australian medical diagnostics for early cancer detection, has announced the issue of a prospectus for new options. The prospectus outlines offers to placement investors, directors, and the lead manager, subject to shareholder approval. Rhythm Biosciences’ key product under development is ColoSTAT, a blood test for the early detection of colorectal cancer. The company also offers geneType, a genetic test designed to assess an individual’s risk of developing breast, prostate, or other cancers.
The offers include up to one new option for nil consideration for every new share issued to invited placement investors under the placement. Directors participating in the placement are also eligible for one new option for every new share issued, again for nil consideration. A further offer of up to 10,800,000 new options is made to the lead manager (or its nominees) at $0.00001 per option, as partial consideration for capital raising and corporate advisory services related to the placement.
The exercise price for all new options is $0.20. The offers are not open to the general public, with application forms provided only to invited placement investors, director placement participants, and the lead manager. The maximum number of new options to be issued under the offers is approximately 52,454,465, subject to rounding. The company anticipates holding a shareholder meeting on or around November 6, 2025, to approve the issue of the new options.
The prospectus emphasizes that an investment in the new options should be considered speculative, and potential investors should consult their professional advisors before deciding to apply. The document also notes that the new options have not been registered under the US Securities Act and may only be offered and sold in the United States under an available exemption.
