Faron Pharmaceuticals Limited (AIM:FARN) has successfully raised €12 million through a share placing, exceeding its original €10 million target after strong investor demand.
The offering was 1.8 times oversubscribed, prompting the company to increase the size of the fundraising.
The newly issued shares were sold to investors at €1.72 per share, a 10.3% discount to Faron’s closing price on 5 February.
The transaction, handled by investment banks Carnegie and Bryan Garnier, is expected to be fully settled by 10 February. The shares represent 6.67% of Faron’s total shares and votes before the placing.
The company attracted backing from long-term institutional investors, family offices, and existing shareholders, reflecting strong confidence in its work. The funds will support ongoing trials of bexmarilimab, an experimental cancer immunotherapy.
Specifically, the money will be used to continue gathering long-term patient response and survival data from the BEXMAB Phase II trial, with topline results expected in April 2025.
Faron’s chief financial officer, Yrjö Wichmann, welcomed the support, saying it provides a cash runway into December.
The additional capital also strengthens Faron’s financial position as it prepares for key discussions with the U.S. Food and Drug Administration (FDA).
Beyond this, the company remains open to licensing deals and other funding options to ensure it secures the best commercial outcome for shareholders.