24/02/2000
ReGen Therapeutics Plc, a company developing a therapy for Alzheimer’s disease, has raised £4.25 million via an institutional placing of 15,178,571 new shares at 28 pence per share. A further 2,678,571, ordinary shares are being offered for subscription to raise up to a further £750,000. Prior to the placing and offer the company had 33,681,299 shares in issue.
The public offer for subscription is being launched today (Thursday 24th February 2000) and will close on Tuesday 21st March 2000 following which the company plans to move to the Alternative Investment Market (AIM). ReGen Therapeutics was formerly traded on the OFEX facility, and its shares were suspended at the request of the company on 26th January 2000. The company’s shares were suspended at 34.5 pence capitalising the company at £11.62 million.
ReGen has commenced a 90 patient clinical trial in Poland. This is being monitored by Rentschler Biotechnologie GmbH & Co.KG, a substantial shareholder in the company which has a long history of involvement in the research and production of interferons, and which also has experience in the development of biotechnological products. It is anticipated that the results of the trial will be available later this year.
ReGen’s therapy is based on Colostrinin, which is a natural product first isolated by scientists of the Ludwik Hirszfield Institute of Immunology and Experimental Therapy, Polish Academy of Sciences, Wroclaw, Poland (Polish Institute). Initial limited clinical trials conducted in Poland have shown Colostrinin to have good therapeutic effect with a significant percentage of patients treated showing stabilisation, and in some cases, improvement over a period of several years.
The company is seeking to take Colostrinin through the current clinical trials and then intends to realise the full value of the product by entering into licence agreements at the appropriate stage of development.
Deloitte & Touche Corporate Finance is nominated adviser to the company and Hoodless Brennan and Partners is nominated broker