Immunotherapy specialist Scancell Holdings Plc (LONSCLP) has conditionally raised £6.9mln, after expenses, in a discounted placing and share subscription, with the cash to be used develop its three main drug candidates.
The placing and subscription of 57.411mln shares, around 16.7% of the firm's issued share capital, was completed at a price of 12 pence a share, around a 31.4% discount to Wednesday's closing price. In late afternoon trading, Scancell shares were trading at 14p each, a 20% decline.
The company is also undertaking planning a £2mln open offer of stock to include existing investors in the fundraising.
The combined proceeds will be used to fund a phase II trial of the company’s lead drug, SCIB-1, in combination with a checkpoint inhibitor to treat late-stage melanoma.
Cancer Research UK
Cash will also be deployed to support the Cancer Research UK development of SCIB2 for non-small-cell lung cancer.
And it will be used to begin a first-in-human study of Modi-1 in patients with triple-negative breast cancer, ovarian cancer and sarcoma planned to start in the first-half of next year.
In a separate announcement, Scancell said it had acquired a number of unique monoclonal antibodies to tumour-associated glycans that have the potential, when coupled with a method of activating the immune system, to provide a new class of cancer immunotherapy.
“We believe this platform complements our existing ImmunoBody and Moditope platforms, significantly broadening the strength and potential of Scancell's immunotherapy pipeline," said chief executive Cliff Holloway.
-- Updates with placing completion details, share price --