Noxopharm Limited (ASX:NOX) has raises $10.8 million via the placement of shares to sophisticated and institutional investors at 90 cents each.
The company will use the funds to accelerate the clinical development of its front-line anti-cancer drug, NOX66.
Noxopharm chairman Peter Marks said: “The offer was heavily oversubscribed, which meant having to scale-back share allocations.
“We take this as a sign of the growing market confidence in our technology and revenue opportunity”
Enhancing an experimental anti-cancer drug
NOX66 is an innovative dosage formulation of the experimental anti-cancer drug, idronoxil, developed specifically to preserve the anti-cancer activity of idronoxil and to enhance its drug-like behaviour.
Noxopharm’s objectives is to generate clear evidence of the anticancer activity of NOX66 by the end of this year.
The company is also determining the nature of a phase III registration study which is anticipated to commence in 2019.
READ: Noxopharm attracts $4 million for three drugs targeting unmet medical needs
The company recently raised $4 million via the issue of convertible notes for its U.S.-based subsidiary, Nyrada Inc.
The new funds are to be applied for the development of three drug assets:
• NYX-104 - a first-in-class neuroprotectant drug designed to minimise brain damage following stroke and traumatic brain injury such as concussion (e.g. sporting injuries);
• NYX-205 - a first-in-class anti-inflammatory drug designed to treat the condition of peripheral neuropathy, a painful condition affecting about 40% of cancer patients receiving certain common chemotherapies; and
• NYX-330 - a first-in-class small molecule PCSK9-inhibitor intended to treat high blood LDL cholesterol levels.
Phase I study is targeted to commence in mid-2019
Each of these three drugs is currently in pre-clinical development. The respective clinical indications have been identified and the first phase I study is targeted to commence in mid-2019.
Combined with its existing cash position and the anticipated research and development rebate, Noxopharm now has the necessary funds to carry out its business objectives for the remainder of 2018.