viewC4X Discovery Holdings PLC

C4X Discovery unveils plans for £6.5mln fundraising as licensing discussions continue

The drug developer is aiming to raise the funds through a combination of a placing, a subscription and an open offer

Cash money
The placing will begin immediately through a bookbuild and close at 4.30pm today

C4X Discovery Holdings PLC (LON:C4XD) has raised around £6.6mln to strengthen its balance sheet amid ongoing licensing discussions for its early-stage drug candidates.

The fundraising saw a total of 46,466,667 shares placed by Panmure Gordon today at a price of 15p each, raising a total of approximately £7.0mln for the company before expenses, while, concurrent with the placing, directors of the company subscribed for 200,000 shares also at the issue price. 

WATCH: Full interview: C4X Discovery fully cashed up and sees big potential for its 'blockbuster molecules'

The placing and subscription shares being issued represented approximately 80.7% of company's issued ordinary share capital prior to the fundraising, while the issue price represented a 63% discount to the company's mid-market closing price as at 23 October 2019. C4X shares closed at trading at 18p on Thursday, down 55.6%.

The company said the net proceeds of the placing and subscription will be used to strengthen its balance sheet as near-term and other licensing discussions and strategic collaborations progress, and support working capital during the expansion of its pipeline portfolio.

Following the successful closing of the placing and subscription, C4X said it would also look to raise up to £1mln through an open offer to eligible shareholders. One share will be offered for every nine existing shares held by an investor.

C4X chief executive Clive Dix said: "In these unprecedented times for investment in our industry, leading to extremely turbulent market conditions, we are delighted to have raised £7.0 million to support the execution of our strategy which is reflective of confidence in the future value of our business. We want to thank both our existing shareholders for their continued support, belief and confidence in our business and to welcome our new shareholders for which this fundraising offers an opportunity to build shareholder value."

He added: "C4XD aims to address industry's biggest challenges by identifying promising disease targets and solving chemistry challenges to generate attractive pre-clinical programmes. Our goal is to maximise the capital raised so that we can deliver on our strategy. The monies raised put us in a strong position to drive the expansion of our pipeline and to advance the next wave of deal opportunities in the C4XD portfolio as momentum continues to build across our key out-licensing projects."

 -- Updates with placing completion details, closing share price --

Quick facts: C4X Discovery Holdings PLC

Price: 20.4 GBX

Market: AIM
Market Cap: £46.17 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


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...

In exchange for publishing services rendered by the Company on behalf of C4X Discovery Holdings PLC named herein, including the promotion by the Company of C4X Discovery Holdings PLC in any Content on the Site, the...


C4X Discovery CEO welcomes start of Indivior trial and outlines new...

C4X Discovery PLC's (LON:C4XD) Chief Executive Clive Dix speaks to Proactive London about the start of clinical trials of a treatment for opioid dependence. The phase I, single ascending dose trial of the company’s Orexin-1 antagonist, C4X_3256, should be completed by the end of the year. Dix...

on 25/8/20

2 min read