Proximagen Neuroscience plc (AIM: PRX), the biopharmaceutical company focused on neurodegenerative diseases, is pleased to announce that it has conditionally placed 35,714,286 new ordinary shares of 1p each (“Ordinary Shares”) at a price of 140 pence per share (the “Placing shares”), to raise gross proceeds of £50 million (the “Placing”). The net proceeds of the Placing will provide the Company with capital to acquire and in-licence drug development programmes and to further develop these programmes to commercialisation. The Placing has been fully underwritten by Evolution Securities.
Commenting on the successful fundraising, Kenneth Mulvany, Chief Executive of Proximagen, said: “We are very pleased with the support from our current and new investors for the fundraising. We intend to use the proceeds of this fundraising to build on our competency in diseases of the central nervous system by acquiring, developing and commercialising innovative drug candidate programmes in clinical stages of development. There is an opportunity to consolidate a select group of high quality assets into one strong biopharma company capable of developing drug candidates to commercialisation. I am pleased that so many blue-chip investors have backed our proposed business strategy and recognise this opportunity.
“The fundraising and business strategy will transform Proximagen into one of the UK’s best capitalised biopharmaceutical companies. By adopting a flexible investment strategy and working in alliance with companies via a number of different approaches, we intend to build a strong pipeline of assets, some of which we hope will be launched on the market in the near future. Proximagen looks forward to becoming a dominant CNS player in what is currently a highly fragmented sector. Most importantly, we look forward to leveraging our expertise and building a sustainable business which will return value to our shareholders.”
For more information please contact: Proximagen Neuroscience plc Tel: 020 7848 6938 Kenneth Mulvany, James Hunter Buchanan Communications Tel: 020 7466 5000 Mary-Jane Elliott, Tim Anderson, Catherine Breen Evolution Securities Limited (NOMAD) Tel: 020 7071 4300 Stuart Andrews, Bobbie Hilliam
About Proximagen Proximagen is a drug discovery and development company that is focused on the development and commercialisation of novel therapeutics for diseases of the central nervous system. Its current lead programmes aim to improve the quality of life for patients suffering from neurodegenerative diseases such as Parkinson’s disease and Alzheimer’s disease. Proximagen has developed a broad pipeline of partnered and unpartnered drug candidate programmes to address the significant unmet medical needs of patients with neurodegenerative disease. The Company recognises that exciting programmes and commercial prospects in its preferred therapeutic area of the central nervous system may become available at attractive valuations. The Company intends to pursue a strategy of acquiring such drug programmes and further developing them to commercialisation. Proximagen, a spin-out from King’s College London, joined the AIM market of the London Stock Exchange in March 2005. For more information please visit the Company’s web site: www.proximagen.com.
Disclaimer Evolution Securities Limited, which is authorised and regulated by the Financial Services Authority, is acting as nominated and financial adviser to the Company in connection with the matters described in this announcement. Evolution Securities Limited will not be responsible to anyone other than the Company for providing the protections afforded to clients of Evolution Securities Limited or for advising any other person on the Placing and any other arrangements described in this announcement. Evolution Securities Limited has not authorised the contents of, or any part of, this announcement and no liability whatsoever is accepted by Evolution Securities Limited for the accuracy of any information or opinions contained in this announcement or for the omission of any information.
