Northern Ireland biotechnology business raises £1.17million to expand 'pipeline opportunities'
In an update to the stock exchange, Fusion Antibodies said it had enjoyed a ‘marked improvement’ in sales in the current financial year
Belfast-based biotechnology business Fusion Antibodies has conditionally raised approximately £1.17m by way of a placing, with the funds to be used to seize ‘pipeline opportunities’.
The listed business specialises in pre-clinical antibody discovery, engineering and supply for both therapeutic drug and diagnostic applications.
In an update to the stock exchange, Fusion Antibodies said it had enjoyed a "marked improvement" in sales in the current financial year as a result of a significant increase in pipeline opportunities including in newly targeted sectors, such as diagnostics.
However, the improvement has been achieved with reduced resources, following a cost cutting exercise that took place in 2023.
The net proceeds receivable by the company - being approximately £1.05m - will be used for general working capital purposes and to invest in the company's commercial activities.
The will focus on increasing its presence in key geographic markets, such as North America, and promoting its proprietary offerings such as OptiMAL through various marketing activities, including attendance at key industry conferences and follow-on sales trips.
In addition, the funds raised will be used towards additional research and development commitments to validate the OptiMAL platform and maximise the value of its grants.
Adrian Kinkaid, chief executive of Fusion Antibodies, said: "It is very pleasing to acknowledge the level of shareholder support for the company that we currently enjoy.
"While we continue to work towards our goal of achieving cash flow neutrality, the company is faced with some remarkable opportunities for growth which are worthy of additional investment. We are currently seeking to validate the OptiMAL® platform through our collaboration with the US National Cancer Institute which has generated a significant number of worthy hits which we now intend to confirm.
"This requires additional research and development spending, which will be complemented by further investment in commercialisation activities. These exciting developments and opportunities, together with maximising the value of our grants, created the justification for the Placing, and I am delighted that our enthusiasm for the validation of our flagship platform has been matched by the participants in the Placing, and especially those from the institutional VCT funds with their inherent longer-term perspective."
Allenby Capital and Shard Capital Partners are acting as the company's joint brokers in connection with the placing.