Island Pharmaceuticals (ASX: $ILA) rights issue announcement

Island Pharmaceuticals Ltd (ASX: $ILA) has announced a fully underwritten non-renounceable pro rata offer to eligible shareholders, aiming to raise up to approximately $1.95 million before costs. The offer allows eligible shareholders to subscribe for two new shares for every five existing shares held on the Record Date, along with one option for every new share issued. Each option holder will be eligible for one additional option for each new option exercised within three months of the closing date of the offer.

Executive commentary on the rights issue

CEO and Managing Director, Dr David Foster, expressed delight at the support shown by existing and new sophisticated and professional investors to the offer. He highlighted that the funds raised will be used to analyze the Phase 7 dose and prepare for the planned Phase 2 clinical trial (PEACH study) for ISLA-101, which marks a critical period for the company.

Summary of Island Pharmaceuticals' rights issue announcement

Island Pharmaceuticals (ASX: $ILA) is conducting a capital raising of up to approximately $1.95 million through a fully underwritten, non-renounceable rights issue to eligible shareholders. The company aims to utilize the funds to advance the Phase 2 efficacy study for ISLA-101, a drug being repurposed for the treatment of dengue fever. The successful completion of this study could address a significant unmet need for treatment options in the face of the disease's endemic nature in approximately 100 countries. Island Pharmaceuticals encourages all current investors to go paperless by registering their details with the Company's share registry, Automic Registry Services, and provides further information on its website.