Arecor Therapeutics PLC (AIM:AREC) has announced plans to raise approximately £6 million through a placing and a new share subscription.
Shares will issued at 90p per share, a discount of 2.7% to yesterday’s close, with a separate retail offer.
Directors will invest £95,000 in aggregate in the placing and subscription with the net proceeds to be used for working capital and to bolster the balance sheet.
The new shares will represent approximately 21.8% of shares in issue.
A retail offer will raise up to a further £1 million and be executed through the Winterflood Retail Access platform (WRAP).
Arecor had previously said its 2024 revenue hinges on the success of new licensing deals, increased sales from Tetris Pharma, and royalties from AT220.
Result updates have also highlighted promising results of a phase I clinical trial for ultra-concentrated, ultra-rapid-acting insulin, AT278 with insulin pump study under consideration to showcase its potential.