Anti-infective drug developer Recce Pharmaceuticals has received commitments from investors for $27,950,000 to be raised in a placement of shares.
The capital raising will fast track commercialisation activities and fund human clinical trials.
The company has been developing broad spectrum synthetic drugs which have achieved ‘positive results’ in pre-clinical laboratory and animal tests on E. coli and S. aureus bacteria – including their superbug forms.
Its lead drug candidate RECCE 327 works by adhering to the outer membrane of bacteria, breaking down proteins and causing the bacterial cell to burst.
Recce told shareholders the placement was strongly supported by local and overseas institutional, sophisticated and professional investors.
CEO James Graham said: “(This) financial support comes at a transformative time for Recce as we prepare to advance human clinical trials.”
At $1.30 per share, the placement was made at a price four times higher than its October, 2019 capital raising.
Picture: Recce Pharmaceuticals
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