- Clinical oncology firm Medicenna Therapeutics Corp (TSX:MDNA) has announced an offer of 11,290,323 shares at $3.10 each
- The firm hopes to receive $35 million in gross proceeds as a result of the offer
- The proceeds will be used to fund pre-clinical trials for the companies drug candidate MDNA19
- The company has a market cap of $124 million
- Medicenna Therapeutics (MDNA) is down 2 per cent, with shares trading at $3.44
Clinical oncology company Medicenna Therapeutics Corp (TSX:MDNA) are hoping to raise $35 million in capital through a stock offer.
The price of the offer was announced overnight, with shares being offered at just under the current market rate.
The 11,290,323 Medicenna shares are being offered at $3.10 per share.
Founded in 2017, Medicenna are one of the largest clinical oncology companies in Canada.
The company has been developing a variety of cancer treatments, based around the targeting of the microenvironment in which the cancer cell inhibits.
The approach is based around aggressive brain cancer cells ability to regenerate and ignore traditional cancer therapies, such as a Chemotherapy.
The funding from the $35 million will go towards the pre-clinical trials of a new offering from the company, a candidate drug MDNA19.
MDNA19 is Medicenna’s lead Immuno-Oncology candidate for the treatment of solid tumours.
MDNA19 is designed to dramatically boost the amount of immune cells targeting cancerous areas in the body.
The drug has already been supported by a U.S $14.1M grant from the CPRIT (Cancer Prevention and Research Institute of Texas).
Clinical trials for MDNA19 are expected to commence later this year.
Other Medicenna drugs currently in trial include MDNA55, which has been involved in 5 clinical trials involving 112 brain cancer patients.
MDNA55 has shown efficiency in reducing the size and severity of these tumours, and has been fast tracked by the FDA.
The offering is being conducted by Toronto based Bloom Burton Securities Inc.
This offering follows another round of fund raising the company did back in January, where an initial $6 million was raised.
Medicenna (MDNA) stock is trading down 2 per cent at $3.44 at 1:05 PM EST
