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- Dimerix (DXB) will raise $5.8 million to support its DMX-200 trials treating ARDS patients with COVID-19
- The therapy drug is also being trialled in a kidney program to treat Focal Segmental Glomerulosclerosis
- Over 16.2 million shares will be issued to institutions, as well as new and existing sophisticated and professional investors at a price of 36 cents each
- The placement is expected to be settled and allocated either later this week or from next week
- Company shares are down 11.4 per cent and trading for 39 cents each
Dimerix (DXB) will raise $5.8 million through a placement to institutions, as well as new and existing sophisticated and professional investors.
The placement will issue 16,222,580 fully paid ordinary shares at a price of 36 cents per share. This represents an 18.2 per cent discount to the last closing price of 44 cents on June 17 and a 9.4 per cent discount to the 15-day volume-weighted average price (VWAP).
The placement is expected to be settled and allocated either later this week or from next week.
The clinical-stage biopharmaceutical company will use the funds to support activities associated with the global REMAP-CAP study of DMX-200 in ARDS patients with COVID-19.
The funds will also go towards the next stage of development for the renal program, such as logistics and distribution costs, additional manufacturing scale-up costs, resource costs, general working capital and corporate costs.
“These funds will provide a solid runway to pursue the longer-term strategy, including the planning for the success of DMX-200 in the kidney program, as well as the ARDS associated with COVID-19 program,” CEO and Managing Director Dr Nina Webster said.
Last week, Dimerix dosed the final patient of its DMX-200 clinical trial which is treating Focal Segmental Glomerulosclerosis (FSGS). FSGS is a rare condition caused by scarring in the kidney which can cause kidney damage and failure.
This is one of two trials that is testing the DMX-200 therapy drug.
Since COVID-19, the company is investigating the potential of DMX-200 as a treatment for acute respiratory distress syndrome (ARDS) in patients with COVID-19.
Company shares are down 11.4 per cent and trading for 39 cents each at 11:58 am AEST.
