Anatara Lifesciences (ASX:ANR) has announced that it has received firm commitments for a placement to raise a total of $1 million before costs.
The company is developing solutions for gastrointestinal diseases in humans and animals.
The company said that executive chair David Brookes and non-executive director John Michailidis have committed to take $60,000 and $10,000 in the placement.
The company said the capital raised will be applied to refining product development and readiness for commercial manufacturing, strengthening the balance sheet to progress potential licensing transactions, appraise new opportunities and maintain general working capital.
Chair Dr David Brookes said, “Given the read-out of Stage 2 of the Pivotal GaRPIBS trial is expected later in the year, it was critical to ensure Anatara is more than sufficiently capitalised to reach this major milestone and to ensure commercial readiness in the event of a positive trial result confirming efficacy.
"The strong interest and support shown by our largest shareholders, as sophisticated and institutional investors, meant that only existing shareholders could be involved in this placement. Funds raised will be used to further refine the GaRP product development and the appropriate regulatory processes, thereby ensuring readiness for commercial manufacturing.
"With the anticipated R&D tax rebate in July 2024, the placement strengthens the Company’s balance sheet at a time of ongoing outside corporate interest regarding the global commercialisation of GaRP.”