Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

Arix Bioscience takes stake in Aussie fibrosis specialist Pharmaxis

Arix led a A$24mln (£13.4mln) primary placing and will invest A$14.2mln itself in two tranches
drinkers
Liver damage is a huge potential market for a fibrosis drug

Arix Bioscience Plc (LON:ARIX) has made its first investment in Australia by leading a sizable funding round for ASX-listed Pharmaxis (ASX:PXS).

The life science investment group will take an 11% interest in Pharmaxis, which is developing treatments for inflammation and fibrosis.

READ: Arix Biosciences' progress significantly undervalued, suggests US broker

Arix led an A$24mln (£13.4mln) primary placing and will invest A$14.2mln itself in two tranches

It was its first 'VIPE'  or Venture Investment in Public Equity deal, where it takes a hands-on role in the development of the company as well as providing finance.

In this case, Edward Rayner, from Arix, will join the Pharmaxis board after shareholder approval.

"We see a number of opportunities to help build high-value companies through our VIPE strategy," said Joe Anderson, Arix's chief executive.

Fibrosis a huge market

Pharmaxis is developing treatments using an anti-fibrotic Lysyl Oxidase-Like type 2 (LOXL2) inhibitor for NASH (liver), IPF (lung function) and damage to the heart and kidneys.

Fibrosis is a build up of scar tissue that inhibits the functioning of an organ.

The Aussie-company has already sold one molecule to Boehringer that is currently in phase 2 trials for NASH and Diabetic Retinopathy.

Pharmaxis also phase 1 studies and phase 2 enabling toxicity studies scheduled to complete this quarter.

Anderson said the investment in Australia demonstrated Arix's "growing global reach.”

Gary Phillips, Pharmaxis’s CEO, added that this funding round will put it in a strong position to negotiate the best partnering outcome and to invest in its pre-clinical pipeline.  

View full ARIX profile View Profile

Arix Bioscience Plc Timeline

Related Articles

picture of addict
November 15 2017
To build the UK's first £1bn, self-sustainable biotech is the aim for chief executive Clive Dix
cells
July 30 2018
Life science generally is developing at an incredible speed, says Joe Anderson
1511901712_biotech_517925923.jpg
November 29 2017
The company has developed a "unique and superior pressure" cycling technology (PCT), says Zacks.

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use