French Genfit raises €78.5M, aims to invest in R&DOctober 31, 2016
French Genfit , a biopharmaceutical company developing therapeutic and diagnostic solutions in metabolic and inflammatory diseases, has seen its share capital increase with shareholders` preferential subscription rights (the “Rights Offering”) launched on October 10, 2016.
According to the company’s Monday announcement, the total demand for the Rights Offering amounted to approximately €155 million, corresponding to a subscription rate of approx. 348%.
Furthermore, together with the €33.9 million private placement completed on October 6, 2016, Genfit has raised a total gross amount of €78.5 million.
Jean-François Mouney, Chairman & CEO of GENFIT, commented: “We`re very pleased with the broad success of the offering, oversubscribed by 348%, which speaks to the high value and great potential recognized by the investment community of our product candidates in development.
This support gives us the means to further progress our pipeline and in particular carry out our development strategy for elafibranor in NASH and PBC, the qualification of our proprietary biomarker candidates as well as the development of our drug candidates in fibrosis; all for the benefit of the growing number of patients to be treated.
I would especially like to thank our individual and institutional shareholders for their overwhelming support in participating in this undeniably successful capital raise.”
The company said it intents to use the €78.5 million raised to continue the development of the Phase III clinical program for Elafibranor in NASH, in particular, through the RESOLVE-IT pivotal study. The portion of the money will go to the development of the related biomarkers program, as well as the initiation of the pediatric study of Elafibranor in NASH.
Also, the company said it would begin with the clinical development of Elafibranor in PBC, and hopes to progress its other proprietary research programs and in particular, programs targeting fibrosis. Lastly, the company said it would prepare market access for Elafibranor in NASH.