XORTX arranges $114,500 (U.S.) private placement

Executive Summary

• XORTX Therapeutics Inc. has arranged a non-brokered private placement to raise up to $114,500 USD through the issuance of common share units.
• The offering is designed to accommodate additional interest from non-Canadian investors in the company's "LIFE offering."
• Proceeds will be used for gout programs and general corporate and working capital purposes.

Key Details

• Transaction Structure: Non-brokered private placement.
• Gross Proceeds: Up to $114,500 USD.
• Units Issued: Up to 156,849 common share units.
• Price Per Unit: $0.73 USD.
• Unit Composition: Each unit consists of one common share and one common share purchase warrant.
• Warrant Terms:
  • Each warrant entitles the holder to purchase one additional common share.
  • Exercise Price: $1.20 USD per warrant.
  • Expiration: 60 months from the date of issuance.
  • Acceleration Clause: If the closing price of common shares on Nasdaq is greater than $2.00 USD for 10 or more consecutive trading days, warrants accelerate and expire on the 30th business day following notice.
• Use of Proceeds: Gout programs and general corporate and working capital purposes.
• Closing Date: Expected on or about August 5, 2025, subject to conditions including TSX Venture Exchange approval.
• Hold Period: All securities are subject to a four-month-and-one-day hold period under Canadian securities legislation.

Notable Quotes

• "With additional interest in the LIFE offering (see news release of June 26 and July 22, 2025) from non-Canadian investors, XORTX has undertaken this small private placement to accommodate these subscribers." — Allen Davidoff, Chief Executive Officer