- Aeterna Zentaris (AEZS) has reported its June quarter results, as well as the latest developments of its macimorelin drug
- The company is currently running a clinical trial on macimorelin, to determine the effectiveness of the drug in identifying Childhood-onset Growth Hormone Deficiency
- Until the drug can be brought to market, the company will remain on a growth model
- To this end, the company posted a consolidated net loss of C$4.65 million for the quarter, which was mitigated by a recent capital raise
- Aeterna Zentaris (AEZS) is up 1.6 per cent to $0.62 per share
Aeterna Zentaris (AEZS) has reported its June quarter results, as well as the latest developments of its macimorelin drug.
The company is currently running a clinical trial on macimorelin, to determine the effectiveness of the drug in identifying Childhood-onset Growth Hormone Deficiency (CGHD).
The company also believes the drug can be used to identify the adult version of the same disease and is currently expanding the drug for use in Europe.
Until the drug can be brought to market, the company will remain on a growth model. To this end, the company posted a consolidated net loss of C$4.65 million for the quarter.
However, to alleviate the loss, during the quarter Aeterna managed to raise approximately $25.25 million for the quarter through share offers.
The first fundraise was a direct at-the-market offer under NASDAQ rules that netted the company approximately $9.30 million, alongside a public offering that generated approximately $15.95 million.
The funding is necessary as the company were boarding on non-compliant with NASDAQ’s listing rules, and risked delisting from the exchange.
The company managed to significantly reduce operating expenses during the quarter from $5.05 million last year to $1.99 million this year.
CEO of Aeterna Dr Klaus Paulini said he was pleased to see the progress the company had made over the last quarter, despite the challenges posed by the COVID-19 pandemic.
“The health and safety of our team remains a top priority and as such, we continue to actively take steps to ensure the highest level of safety for our employees.
“We are incredibly grateful for their dedication and maintaining operations amidst navigating these unprecedented times.
“We have tongued advancing the development of macimorelin for CGHD, which we believe represents a significant opportunity for the company and, if approved, has the potential to significantly increase the available patient population for macimorelin,” he said.
Aeterna Zentaris (AEZS) is up 1.6 per cent and is trading at 62 cents per share at 10:30 am EDT.