Actinogen Medical ACW announces successful $11.1 million capital raising

Actinogen Medical (ASX:ACW) has successfully completed an $8.1 million share placement to existing shareholders and new institutional investors, along with the launch of a $3.0 million share purchase plan (SPP) offer to existing shareholders. The funds will be used to accelerate the full enrolment of 220 patients with biomarker-positive Alzheimer's disease (AD) in the 36-week placebo-controlled XanaMIA Phase 2b/3 trial being conducted in Australia and the US. CEO, Dr. Steven Gourlay, subscribed for $1 million in the placement, while other directors subscribed for a total of $130,000, subject to shareholder approval at an Extraordinary General Meeting (EGM) to be advised.

Dr. Steven Gourlay, Actinogen CEO and MD, on the capital raising

'Following the validation of Xanamem's 10 mg dose and clinical activity in the recent depression trial, I am pleased to invest a further $1 million into the Company with the goal of establishing Xanamem as a novel and important therapy for depression and Alzheimer's disease. As we accelerate the XanaMIA phase 2b/3 trial towards full recruitment, the new funding ensures we can continuously enrol patients at an expanded number of clinical sites in Australia and the US to meet our timelines. The new funding strengthens our balance sheet position as we enter a period of negotiation with potential co-development and regional commercial partners for depression and Alzheimer's disease. We are pleased to offer eligible retail shareholders the opportunity to participate in a share purchase plan (SPP) on the same terms as the placement to a maximum of $30,000 per shareholder.'

Summary of the capital raising and outlook

The $11.1 million capital raising by Actinogen Medical (ASX:ACW) through a $8.1 million share placement and a $3.0 million share purchase plan (SPP) is aimed at accelerating the XanaMIA Phase 2b/3 trial for Alzheimer's disease. CEO Dr. Steven Gourlay's $1 million investment demonstrates confidence in the potential of Xanamem as a therapy for depression and Alzheimer's disease. The funds will facilitate the full enrolment of 220 patients in the trial, with interim data from the first 100 participants anticipated in mid-2025 and final results in mid-2026. The capital raising will provide a cash runway to at least mid-2026 and strengthen the company's position for potential co-development and regional commercial partnerships. The share purchase plan (SPP) offers eligible retail shareholders the opportunity to participate on the same terms as the placement, further engaging the company's stakeholders in its growth and development.