ImmuPharma PLC (AIM:IMM, OTC:IMMPF) has raised £1.35 million through subscriptions for new equity that the biotech said will give it a cash runway until at least the end of 2024.
Lanstead Capital, currently an 8% shareholder, is providing £1 million through a sharing agreement spread over 24 months, while a direct subscription will raise a further £0.35 million.
Shares in the direct subscription are being issued at 2p per share with the money earmarked for R&D work and general working capital.
Tim McCarthy, ImmuPharma’s chairman and chief executive, said: "After a period of significant reorganisation of the company, both in corporate structure and our development portfolio, we are now entering a very important period and we are poised to see a sustained positive news flow programme going forward.
“There is the expectation of achieving key milestones over the next period, including moving forward with the Phase 2/3 adaptive clinical trial in lupus; concluding the licensing of Lupuzor for the ex-US rights; progressing our further late-stage asset, CIDP, where we are now gaining interest from potential partners to expedite this program and also to progress our earlier stage assets including BioAMB and BioCin within our anti-infective portfolio.
“Our expectation and belief is that this progressive news flow should reflect positively in the company's share price, thereby having a beneficial impact on the Lanstead funding arrangement.”
A retail offer to run alongside the subscriptions can raise up to a further £0.5mln.
ImmuPharma also posted interim results for the six months to 30 June 2023 showing losses reduced to £ 0.8 million (£1.7 million) and a cash balance of £0.2 million.