Clinical-stage biopharmaceutical company Dimerix (ASX:DXB) has announced the placement of 16,222,580 fully paid ordinary shares to institutional and sophisticated investors at a price of $0.36 per share to raise $5.8 million before costs.
The company said the placement was well supported with strong participation from institutions as well as new and existing sophisticated and professional investors.
It said the funding will be used to support activities associated with the global REMAP-CAP study of DMX-200 in patients with acute respiratory distress syndrome related to COVID-19 infection as well as the next stage of development for the renal program.
According to Dr James Williams, Dimerix chairman, “This is a very exciting time for Dimerix. With DMX-200 nearing completion of two different Phase 2 clinical trials, and read-outs expected mid2020; DMX-200 now entering a global, pivotal study protocol in patients with Acute Respiratory Distress Syndrome as a result of COVID-19; and DMX-700 under-going proof-of-concept studies, 2020 has the potential to be a transformational year for the Company”.
"The REMAP-CAP team running the global study in COVID-19 patients see DMX-200 in this study as biologically compelling, operationally feasible, and potentially of tremendous clinical impact for a condition with high morbidity and mortality and for which few effective therapies are available,” said Dimerix CEO and managing director Dr Nina Webster.
“These funds will provide a solid runway to pursue the longer term strategy, including the planning for the success of DMX-200 in the kidney program, as well as the ARDS associated with COVID-19 program”.
The placement price of $0.36 per share represented an 18.2 per cent discount to the last closing price ($0.44 cents) on 17 June 2020 and a 9.4 per cent discount to the 15-day Volume Weighted Average Price (VWAP). The placement was managed by Taylor Collison as lead manager and Argonaut as co-manager.