Amplia Therapeutics Successfully Completes Institutional Placement and Entitlement Offer
ATX (ATX) Share Update October 2024 Thursday 31st
Amplia Completes Institutional Placement and Announces Underwriting for Retail Offer
Amplia Therapeutics Limited (ASX: ATX) has announced the successful completion of its institutional placement and entitlement offer, raising approximately A$9.9 million. The company also confirmed the underwriting of its upcoming retail entitlement offer.
Instant Summary:
- Successful completion of institutional placement raising A$9.9 million.
- Retail entitlement offer fully underwritten.
- New shares offered with free attaching options.
- Funds to support clinical trials for pancreatic cancer treatment.
Institutional Placement and Entitlement Offer
Amplia Therapeutics Limited, a Melbourne-based pharmaceutical company, has successfully completed its institutional placement and entitlement offer, raising gross proceeds of approximately A$9.9 million. The offer included a 1 for 6.45 pro rata accelerated non-renounceable entitlement offer of new fully paid ordinary shares, with free attaching options.
The institutional offer, which closed on 31 October 2024, attracted significant interest from existing shareholders and introduced new institutional investors to Amplia's register. The funds raised will be used to advance the company's clinical trials, particularly in the field of pancreatic cancer.
Retail Entitlement Offer
The retail component of the entitlement offer is fully underwritten, with Bell Potter Securities Limited and Taylor Collison Limited acting as joint lead managers and underwriters. Eligible retail shareholders in Australia and New Zealand will have the opportunity to participate in the offer, which opens on 6 November 2024 and closes on 22 November 2024.
Retail shareholders can take up their entitlements at the offer price of A$0.115 per new share, with the option to apply for additional shares through a 'Top Up Facility'. The new shares and attaching options are expected to be issued on 29 November 2024.
Strategic Goals and Future Plans
Amplia's Managing Director, Dr. Chris Burns, highlighted the significance of the capital raise in achieving the company's goals, including the completion of the ACCENT trial for its lead compound narmafotinib. The company also plans to initiate a trial of narmafotinib in the US in combination with FOLFIRINOX, a chemotherapy regimen.
The successful capital raise underscores Amplia's commitment to advancing its pipeline of Focal Adhesion Kinase (FAK) inhibitors, which are gaining attention for their potential in treating fibrotic cancers such as pancreatic and ovarian cancer.
The successful capital raise and underwriting of the retail offer are positive developments for Amplia Therapeutics. The funds will enable the company to advance its clinical trials and potentially bring new treatments to market. This could positively impact the company's stock as investors anticipate future growth and success in its drug development programs.
Investor Reaction:
Analysts are likely to view the successful completion of the institutional placement and the underwriting of the retail offer as a strong vote of confidence in Amplia's strategic direction. The introduction of new institutional investors may also bolster investor sentiment.
Conclusion:
Investors should consider Amplia's strategic initiatives and potential for growth in the pharmaceutical sector. The company's focus on developing treatments for challenging cancers positions it well for future success. Staying informed about Amplia's progress and market developments will be crucial for investors.