Intellipharmaceutics International Inc. (IPCI)

[fabius]

Updated prospectus just released.

After a brief research

Why Use Pre-funded Warrants?
The purpose of using pre-funded warrants is to provide investors that have restrictions on their ability to own a company’s
securities above a designated ownership threshold (typically, 9.99% or 19.99%) with the opportunity to invest additional
capital without violating the investor’s ownership restrictions. A pre-funded warrant provides a holder with the flexibility
to avoid exceeding the designated ownership threshold prior to the warrant’s exercise while still maintaining the ability to
immediately acquire the underlying securities at a nominal exercise price when the investor is ready to do so. Pre-funded
warrants allow the company to receive almost all of the cash proceeds immediately upon the warrant’s issue at a time
when the company’s underlying valuation is likely difficult to obtain or uncertain, instead of waiting until the warrant is
exercised. Additionally, including the option to use pre-funded warrants in a transaction potentially expands the pool of
prospective investors by resolving certain ownership concerns in certain circumstances.