Faron raises €40 million in oversubscribed rights issue to drive bexmarilimab trials

Faron Pharmaceuticals Oy ( (GB:FARN) ) just unveiled an update.

Faron Pharmaceuticals has reported preliminary results of a fully committed rights offering of up to 80,158,126 new shares, raising approximately EUR 40.1 million in gross proceeds, or about EUR 32.8 million net after costs. Around 52% of the offer shares were subscribed during the rights issue period, with the remainder to be taken up by cornerstone investors and subscription guarantors under previously agreed commitments.

The capital injection will strengthen Faron’s balance sheet, extend its cash runway to November 2027, and fund a 90-patient randomized Phase II trial of bexmarilimab in frontline high-risk myelodysplastic syndrome, as well as up to five investigator-initiated studies. Following board approval, the share count will increase from 119,472,660 to 199,472,660, significantly diluting existing holdings but underpinning the company’s strategy to accelerate development of its immunotherapy platform and maintain flexibility for a possible further directed share issue.

More about Faron Pharmaceuticals Oy

Faron Pharmaceuticals Ltd is a Turku, Finland-based biopharmaceutical company listed on AIM in London and Nasdaq First North Growth Market Finland. The company focuses on developing immuno-oncology therapies, with its lead asset bexmarilimab targeting aggressive hematological cancers and high-risk myelodysplastic syndrome, and it is positioning itself in the frontline treatment segment for these indications.

Learn more about FARN stock on TipRanks’ Stock Analysis page.