Dimerix (ASX:DXB) has announced it has received firm commitments to raise $20 million via an institutional placement with proceeds to complete the ACTION3 Phase 3 clinical study in patients with debilitating kidney disease.
The company recently reported positive interim results from the ACTION3 Phase 3 trial of DMX-200 in patients with focal segmental glomerulosclerosis (FSGS). To further enhance recruitment, the trial will now expand with new clinical sites opening in additional countries, including China.
In the placement, new and existing institutional and sophisticated investors and other exempt investors have committed $20 million for 66,666,667 in fully paid ordinary shares at an issue price of $0.30.
The company said funds raised under the placement will be used to support and expand the ACTION3 Phase 3 clinical trial in patients with FSGS, preparation and submission of appropriate regulatory applications, continued manufacturing distribution and logistics of the required clinical trial material, partnering activities, and working capital and other costs.
“We are delighted to welcome our new Institutional and sophisticated investors, and we appreciate the strong support from existing shareholders,” said Dimerx CEO and managing director, Dr Nina Webster.
“This Placement was highly strategic as it provides sufficient funds to take Dimerix through the 2nd interim analysis and, including eligible R&D rebates, the completion of the ACTION3 Phase 3 clinical trial.
“If the next interim analysis is compelling, the company could seek to apply for accelerated marketing approval in certain jurisdictions.
“By completing this Placement, Dimerix has not only accessed funding from high quality institutional investors to deliver on its Phase 3 program, but also significantly strengthened its balance sheet and this puts us in a strong negotiating position with potential partners, particularly on the back of our successful interim analysis just announced,” said Dr Webster.
