- Directors of regenerative medicine company Regeneus (RGS) have organised a $4 million loan facility
- The funds are set to help commercialise its Progenza therapy technology for knee osteoarthritis in Japan
- Progenza is made from stem cells and has shown strong therapeutic benefits
- It works by reducing inflammation and repairing damaged or diseased tissue
- Of the $4 million, $2 million comes from CEO Leo Lee
- At market close, Regeneus is down 7.02 per cent and trading at 5.3¢ per share
Directors of regenerative medicine company Regeneus (RGS) have put in place a $4 million loan facility to help commercialise Progenza for knee osteoarthritis in Japan.
Progenza is the company's lead therapy technology being developed for the treatment of osteoarthritis and other musculoskeletal disorders.
It is made from expanded mesenchymal stem cells from human tissue and contains secretions of the cells which have strong therapeutic benefits.
Progenza works by reducing inflammation and promoting healing and repair in damaged or diseased tissue.
Of the $4 million, $2 million will be provided by Leo.
In addition, Paddington St Finance has agreed to extend a new $2 million loan facility to the company. Paddington is an entity related to Regeneus' Chairman, Barry Sechos.
Both loans contain the same repayment term of 12 months from the date the loan is signed.
"Regeneus believes the above funding arrangements provide the fairest value to shareholders," the company told the market.
"Regeneus tested the market and was not able to secure equivalent funding at an equivalent cost," it added.
When the market closed for the weekend, Regeneus was down 7.02 per cent and trading for 5.3¢ per share.