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Keely Lynch:
RCE Pharmaceuticals has announced a capital raise following the completion of its phase one and two UTI trial. To discuss this further, I’m joined by the company CEO, James Graham. Welcome James. It’s been a busy few weeks for the company. Take us through these highlights.
James Graham:
It has certainly been a busy few weeks. I mean from World Health Organisation announcing that our compound R327 or Recce 327 is clinically the most advanced new class of antibiotic to the world at this time, and in fact works faster than any other antibiotic known to date. We announced, we’ve completed our fast infusion IV dosing study. We not only did we demonstrate our compound to be again, safe and well-tolerated, we demonstrated it to be efficacious. And that’s really, really important when we step into a phase two B study. Now, knowing that the compound works, of course, when passed through the human urine retract infection or UTI I should say. And of course then we step into our capital raise. I mean, we had an oversubscribed institution round of around $8 million and open up to a share purchase plan of about $2 million, which when we add our US Department of Defence grants, we add our R&D rebate. It actually funds us all the way through into FY of 26
Keely Lynch:
And expanding a little more into the UTI trial completion. What is the significance of these results?
James Graham:
Yeah, look, it’s significant when you can take a compound that’s been IV administered into human vein in as fast a time period of say 15 or 20 minutes in a concentration as high as 4,000 milligrams. And you can take from the human urine having passed through the human vein and kidney and into the urine tract and demonstrate the compound to be efficacious. We’ve demonstrated efficacy against e coli from these humans. And of course e coli is about 80% of all UTI infections. And when we look to urosepsis, so urinary tract infection derived blood poisoning, 30% of all patients have an underlying UTI. So that the ability to position not only for the chance of success in a phase two B study, but the chance of potential success of having an active compound that’s gone through the human blood and beyond for a utero septic patient is really pivotal when it’s such an unmet medical need of large patient populations.
Keely Lynch:
Well, there’s certainly a lot of progress being made by the company. Looking at the capital raise, what is this funding going to be used for?
James Lynch:
Yeah, so the capital raises for the purposes of launching the phase two B UTI or Euro septic patient study, it’s for launching a registrational phase three diabetic foot infection study, actually in Indonesia of all places. The majority of that study is actually sponsored by the Indonesian government. But the term registrational is a key important term because if we do succeed in this study, which we expect first patient dosing soon, we would expect the results to see a drug approval. And a drug approval means sales, and sales when you look to Indonesia, 280 million people, 11% population, 48% of those get a diabetic foot infection and 60% of those get infected. You’re really talking in the millions and millions of people worldwide each year. We also, of course raise money to support our extended topical study, our expanded topical study, not just from diabetic foot infections or burn wounds, postoperative wound infections, but all topical infections, which we were recently approved for in Australia. So there’s a little bit of a mouthful, but it’s a mouthful because of all the excitement we have around these major unmet medical needs of large patient populations.
Keely Lynch:
And lastly, before we go, what are some of the key takeaways for investors?
James Graham:
News flow, News flow, news flow. This is the year of efficacy for Recce. So whether it be efficacy, which we demonstrated from a UTI perspective, and we’ll be launching a formal Euro septic patient study on that demonstrated of course against diabetic foot ulcer infections to date. And we’re launching a registrational study on that. And then of course, demonstrated on multiple different topical infections to date. And we have a present study capturing all that. This is a year of efficacy and where you have a company that is now funded into next financial year. So a very long way away from where we are at the start of this financial year. Today you have a company with a lot of news flow and opportunity ahead.
Keely Lynch:
Well, it’s certainly an exciting but busy time for the company. I look forward to hearing about the next update. Thank you so much for your time, James Graham from Recce Pharmaceuticals.
James Graham:
Many thanks.
