Sydney-based company Nyrada has raised $12.0 million in new equity capital before costs, with its own board committing $5.125 million of that total, as it pushes its lead heart drug, Xolatryp, deeper into clinical testing.
The company, which is developing inhibitors of Transient Receptor Potential Canonical ion channels, said it had received firm commitments for a placement of roughly 19.4 million CHESS Depositary Instruments (CDI) to new and existing professional and sophisticated investors.
The issue price of $0.62 per CDI represented a 15.1 per cent discount to the last traded price and an 11.4 per cent discount to the five-day volume-weighted average price.
The raise follows the recent start of Nyrada's Phase 2a trial assessing the safety and preliminary efficacy of Xolatryp in reducing heart tissue damage and improving heart function in patients suffering a heart attack.
Managing Director and Chief Executive James Bonnar said, "This capital raise marks a pivotal moment for Nyrada. The strong support from both new and existing investors is a powerful validation of our science, our team, our novel drug Xolatryp, and our potential to address serious unmet clinical needs. We are now well-positioned to complete our Phase 2a trial and fortify our business by enhancing our pipeline, develop an oral dose TRPC asset, and developing a commercial dose form of Xolatryp."
He added, "We are extremely grateful to investors for sharing our vision, and we look forward to an important period of execution ahead."
Chair John Moore said, "Thank you to all CDI holders, existing and incoming, for your support. Nyrada is at a crucial juncture and well capitalised to progress the development of Xolatryp, our first-in-class small molecule therapy."
The board's $5.125 million subscription, on the same terms as the placement, is subject to CDI holder approval at a general meeting.
Investors in the placement will also receive free options, three attaching options for every four new CDIs subscribed, plus one piggyback option for every attaching option exercised. The attaching options carry an exercise price of $0.93 and expire on 25 September 2028, while the piggyback options are exercisable at $1.40 and expire on 26 September 2030.
A separate, non-underwritten Securities Purchase Plan will target a further $2 million on substantially the same terms, allowing eligible holders to apply for up to $30,000 of CDIs without brokerage.
