Munich-based Medigene is planning to raise cash through existing shareholders’ investments. The company targets up to €50M to propel its immune-oncology program with T-Cell Receptors and Dendritic Cells vaccines assets.
Medigene plans a cash capital increase with subscription rights for existing shareholders by offering a new batch of shares. The company is going to present two for every five shares that the current investors already hold. If Medigene’ staff of investors is not willing to extend its weight in the company, the remaining shares will be offered to selected institutional investors as private placements.
This capital measure should therefore enable Medigene to complete the ongoing Dendritic Cells (DCs) vaccine trial, to advance the clinical validation of T-Cell Receptor technology (TCRs) and to extend its cash reach at least until the second half of 2019. During this time, Medigene plans to develop up to 10 lead candidates for the TCR technology and aims to initiate up to three clinical TCR trials.
The immuno-oncology field has become extremely competitive and Medigene hasn’t taken the best decisions ever, specially after spinning out Adaptimmune’s top TCR pipeline. The company expects the raised-cash to push its position in a field, where several biotechs are already fighting to be the first in cell treatments against cancer.