Shareholders and the investment community became concerned that Medexus Pharmaceuticals (MDP.T) would not be able to deal with the imminent expiry of convertible debentures the company had issued early in its existence to fuel its growth.

This concern grew into panic and Medexus shares took a serious hit, even though management were well aware of the situation and busy crafting solutions. Ken d’Entremont, CEO and director of Medexus, assured investors during a quarterly earnings call that the company was actively dealing with the issue, but doubt remained.

On March 8, 2023, Medexus announced it had secured a new debt facility with BMO that would not only provide the company sufficient gas to move forward, but also deal with the soon-to-be debentures without share dilution.

Equity Guru founder, Chris Parry, explains what Medexus has done, what it means for growth and why investors should be celebrating.

Enjoy!