- Noxopharm has secured $26 million in funding for U.S. clinical testing of its immune-oncology cancer treatment drug, Veyonda
- Data from studies released in previous months supports Noxopharm’s belief that Veyonda is a highly promising new class of anti-drug therapy
- Funds will also be used to meet ongoing capital needs and minimise dilution to existing shareholders
- NOX shares are currently worth 44 cents each in a $54.56 million market cap
Drug developer Noxopharm has secured $26 million in funding for U.S. clinical testing of its immune-oncology cancer treatment drug, Veyonda.
Since April, Noxopharm has released clinical data from its DARRT-1 and LuPIN studies. The studies both showed strong evidence that Veyonda can bring about anti-cancer responses in men with advanced and progressive prostate cancer.
Noxopharm says the data from the studies support the company’s belief that Veyonda is a highly promising new class of anti-drug therapy.
The company then sought funding to take on a new round of clinical testing for Veyonda in the U.S. Today, Noxpharm announced it has locked in funding from two New York institutional investors: Lind Global Macro Fund and CST Investment Funds.
Noxopharm will receive an initial $4 million in capital, with a total of $26 million available for funding over the next 12 months.
Along with the funding of U.S. clinical trials. Noxopharm management says funds will also be used to meet ongoing capital needs and minimise dilution to existing shareholders.
Noxopharm Executive Chairman Graham Kelly said the funding will be able to take the company to the next level.
“The further we take Veyonda in the clinic, the more confident we become in its opportunity and value,” Graham said.
“And while the value of Veyonda is growing, so is the cost of its development, and that means laying the groundwork for a future strongly linked to the U.S. capital markets,” he said.
The fairly-recent idea of immuno-oncology treatment works around the premise that if cancer is the result of the body being unable to recognise and get rid of abnormal cells, this is the area drugs should be targeting in the immune system — not the cancer itself.
However, more research and development is required for immuno-oncology treatments in order to see them consistently treat a variety of cancers.
Noxopharm shares spiked six per cent this morning, but have since fallen slightly and now trade 2.2 per cent lower than their last closing price. NOX shares are currently worth 44 cents each in a $54.56 million market cap.