Milan, Italy – 20 November 2009 – Newron Pharmaceuticals S.p.A. (“Newron”), a research and development company focused on novel CNS and pain therapies, announced that it has raised gross proceeds of CHF7.9m through a private placement to institutional investors. The private placement was conducted without preferential subscription rights to institutional investors and was managed by Jefferies International.
The subscription price was set at CHF18.00 per share, representing a 3.23 % discount to the closing price of Newron’s shares on 19 November 2009 of CHF 18.60. The proceeds will be used to further capitalise the Company and fund its pipeline development and clinical trials.
Luca Benatti, CEO, commented, “We are very pleased with the new funding and the interest shown by high quality investors in Newron. While safinamide is progressing into completion of final studies to allow for regulatory filing, ralfinamide is undergoing a potentially pivotal trial as first-in class treatment for a blockbuster indication and is, as yet, unpartnered. We intend to develop our pipeline with advancing pre-clinical and earlier clinical candidates.”
The new shares represented 7.19% of the Company’s total share capital before and 6.71% of the total share capital after the capital increase. Closing of the transaction will be subject to customary Italian and Swiss regulatory requirements. Newron has applied for and approval has been given by the SIX Swiss Exchange, subject to certain conditions, for the listing of the new shares. The new shares will be listed and traded on the SIX Swiss Exchange under the same ISIN as the Company’s existing shares (ISIN: IT0004147952) presumably on or about 3 December 2009.
About Newron Pharmaceuticals
Newron Pharmaceuticals S.p.A. (www.newron.com) is a biopharmaceutical company focused on novel therapies for diseases of the Central Nervous System and pain. Newron is undertaking phase III trials with safinamide for the treatment of Parkinson’s disease (PD) in conjunction with its partner, Merck Serono, which has exclusive worldwide rights to develop, manufacture and commercialize the compound in PD, Alzheimer’s disease, and other therapeutic applications. Newron recently initiated SERENA, a potentially pivotal study with ralfinamide in patients with Neuropathic Low Back Pain (NLBP). There are no approved drugs for the treatment of NLBP, an indication experienced by about 55 million patients in the USA, Europe and Japan. Newron is headquartered in Bresso, near Milan, Italy. The company is listed at SIX Swiss Exchange, trading symbol NWRN.
