Listed Leeds pharma firm, 4D Pharma, has raised £7.7 million via a placing and subscription.
The company, which specialises in the development of live biotherapeutic products, has issues around 21.9 million new ordinary shares at a price of 35 pence per share with new and existing investors.
According to a company update, 4D Pharma will use the proceeds to progress opportunities in ongoing studies and clinical development.
This includes building on the recently announced proof-of-concept data in the treatment of certain cancers with a live biotherapeutic, generating data in its COVID-19 clinical trial, and advancing its novel therapeutic strategy for neurodegenerative disease.
Furthermore, the funding will strengthen the company’s balance sheet and provide general working capital.
“In 2020, 4D pharma has announced multiple key developments which reinforce the company’s approach to the development of single strain Live Biotherapeutics,” said 4D Pharma Chief Executive, Duncan Peyton.
“These have included the delivery of what we believe to be the first ever clinical signals of efficacy in the treatment of cancer using LBPs, as well as securing expedited approval to conduct a clinical trial in COVID-19.
“In this period of economic uncertainty, 4D is pleased to announce this injection of capital into the company which is indicative of the continuing strong support of existing and new investors.
“This funding will enable us to ensure that we have the best opportunity to build upon the exciting developments announced to date this year, deliver data from our clinical studies of multiple candidates throughout 2020 and into early 2021, and explore further potential partnerships, all of which the company expects will provide value inflection points to support the company in implementing longer term strategic financing plans.”