Biotechnology firm, Imugene Ltd (ASX:IMU, OTC:IUGNF) has received firm commitments to raise $35 million through a share placement, garnering keen interest from both Australian and international investors, including several specialising in biotech ventures.
The placement, priced at $0.084 per share, witnessed robust commitments from new as well as existing institutional and sophisticated investors, which includes the company’s directors and key management personnel as well.
Further reinforcing its financial position, Imugene has also initiated a share purchase plan (SPP) aiming to raise about $30 million.
This plan offers shares to eligible existing shareholders either at $0.084 or a 2.5% discount to the closing 5-day volume weighted average price (VWAP).
The funds procured from this capital raise are earmarked for Imugene’s recent strategic move, which includes the acquisition of exclusive licensing rights to the Azer-cel Allogeneic CD19 Car-T license and associated trial costs.
Strong support
Imugene founder and executive chairman Paul Hopper said: “I am delighted with the very strong support shown for the raise with institutional interest coming from Australia, Asia in particular, and the US.
“It was very important to the Board that our loyal individual shareholders be offered the opportunity to also participate via the SPP, and we are glad to say that their voice has been heard”.
One complementary option
Participants of both the placement and SPP will be granted one complementary option for every share procured under this offer.
These options are set to be listed on the Australian Securities Exchange (ASX) and will come with an exercise price of $0.118, valid until August 31, 2026.
Bell Potter Securities is acting as the lead manager for the capital raising.
Encouraged by the supoort Imugene managing director and CEO Leslie Chong said: “We appreciate the strong support and belief from new and existing investors in our company’s vision.
“This raise places Imugene in an enviable position with regards to its balance sheet with the financial horsepower to execute across all our platforms.
“I thank all our investors for the confidence they have shown in our company.”