EvoGenix completes $A5 million capital raising
Antibody therapeutics company EvoGenix Limited (ASX:EGX) today announced the successful completion of a $A5 million
capital raising through a share placement to institutional and sophisticated investors.
The share placement is for 10 million shares at an issue price of $0.50 per share.
The placement included investments both from existing shareholders and from a number of other institutional investors
with expertise in the biotechnology sector.
EvoGenix CEO and Managing Director Merilyn Sleigh commented that the additional capital will be used primarily to
accelerate development of the company’s product pipeline with particular emphasis on anti-cancer antibody drugs under
development.
Dr Sleigh noted “EvoGenix has been able to access two very exciting prospects for novel cancer treatments through
agreements announced this year with the University of Massachusetts, USA and the US National Institutes of Health. These
offer new approaches to treatment of cancers where an effective drug could be expected to achieve more than a billion
dollars in annual sales. Our work during the next 12 months will be focused on confirming the effectiveness of these
potential treatments in our pre-clinical studies, accelerating products through to the clinical testing phase.”
Lodge Corporate Services Pty Ltd acted as Adviser and Lead Manager for the placement.
Details of the raising
EvoGenix will issue 10 million new shares as a result of the placement. This represents less than 15% of the company’s
total issued capital, allowing the issue to proceed under Rule 7.1 of the ASX listing rules without additional
shareholder approval. Application for listing of the new shares will be made in the near future.
About EvoGenix
EvoGenix Limited (ASX:EGX) has established leading technology capabilities for creating high value antibody and
protein-based therapeutics. The company exploits its capabilities through technology collaborations with partner
companies, and by development in-house of a succession of wholly-owned antibody and protein products.
Antibodies are natural proteins designed to attack, block and remove unwanted materials
from the body. Antibodies are usually first made in animals such as mice or rats, and in their initial state are
unsuitable for use in patients, because the foreign protein is rapidly rejected by the human immune system.
The EvoGenix technology can convert a research-stage antibody into a high potency therapeutic suitable for long term
administration to patients. This is a key value-creating step in antibody development.
EvoGenix is progressively building company value by assembling a portfolio of revenues from technology collaborations
using its unique technology capabilities. Multi project collaborations with GlaxoSmithKline and Australia’s CSL Limited
have been announced in the past 12 months.
At the same time EvoGenix is advancing its internal product pipeline, with current products aimed at the treatment of
osteoporosis, lung cancer, melanoma and respiratory infections. Generally, these will be out-licensed prior to the
clinical stage to meet the existing high demand for new biotherapeutic products in the pharmaceutical industry.
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