French Abivax SA has raised €130m capital led by TCGX to accelerate Phase III testing of its ulcerative colitis candidate obefazimod extend its cashflow.
Existing investors Invus, Deep Track Capital, Sofinnova Partners, Venrock Healthcare Capital Partners, as well as from new investors Great Point Partners, LLC, Deerfield Management Company, Commodore Capital, Samsara BioCapital, Boxer Capital and others participated in the overtsubscribed reserved capital increase through the issuance of 20,000,000 newly-issued ordinary shares with a nominal value of €0.01 per share, representing 89.6% of its current share capital, at a subscription price of €6.50 per share.
Prof. Hartmut J. Ehrlich, M.D., CEO of Abivax said: “Based on our consistent Phase IIa and Phase IIb data, we expect that the Phase III studies will support the short- and long-term efficacy and safety profile of obefazimod.”
Alongside the launch and continuation of the clinical programs of obefazimod (ABX464), the company extended its cash runway until the end of the second quarter of 2024. For ulcerative colitis, Abiivax’ pivotal Phase III program started enrollment in October 2022. The program will combine two induction trials and one single maintenance trial, involving a total of 1,200 patients and over 600 clinical study centres, mainly in North America, Europe, Latin America and Asia Pacific.
Abivax will invest 80% of the proceeds into the Phase III trial of obefazimod, R&D on the compound’s mechanism of action, nonclinical work, chemical and pharmaceutical development work, regulatory and pharmacovigilance activities for obefazimod. Around 10% will be invested into the remaining clinical activities for obefazimod outside the ulcerative colitis indication such as a Phase IIa maintenance trial in rheumatoid arthritis and various current and future Phase I trials necessary to prepare potential submissions for marketing authorisations for obefazimod.
Abivax said that it will require additional financing of €101m to complete its Phase III clinical program for obefazimod in UC.
Source : https://european-biotechnology.com/up-to-date/latest-news/news/abivax-sa-raises-eur130m-to-advance-obefazimod-to-phase-iii.html