PharmAust raises $10 million for pivotal study

PharmAust Limited (ASX: $PAA) has secured firm commitments to raise $10 million through an institutional Placement at $0.19 per share. The Placement was strongly supported by both new and existing institutional investors. The funds raised will be used to finalize preparations for the pivotal adaptive Phase 2/3 STRIKE study in patients with Motor Neurone Disease (MND), monepantel manufacturing, preclinical models, regulatory filings, working capital, and offer costs.

Executive Commentary on Capital Raising

We are delighted with the support of our capital raising from our existing shareholders and welcome new shareholders to our register. It serves as a vote of confidence in the exciting opportunity ahead for us with monepantel, along with the quality of our people and our strategy. PharmAust can now finalize preparations towards commencing a pivotal registration study for monepantel for the treatment of MND/ALS. The funds will be strategically allocated to key areas, including the final study design and various start-up activities for our adaptive Phase 2/3 STRIKE study, including the manufacture of monepantel under Good Manufacturing Practice (GMP), and exploring preclinical models for other neurodegenerative diseases. With many important milestones on the horizon, including the commencement of the STRIKE study in H2 CY2024, we look forward to keeping shareholders up to date on our progress. As a Board, we are pleased to be able to offer the ability for shareholders to participate in the Company's capital raising activities on the same terms as the Placement through the Share Purchase Plan.

Summary of PharmAust's Capital Raising

PharmAust Limited (ASX: $PAA) has successfully raised $10 million through an institutional Placement at $0.19 per share, with Directors and Management participating for approximately $1 million, subject to shareholder approval. The Placement was strongly supported by both new and existing institutional investors. The funds raised will be used to finalize preparations for the pivotal adaptive Phase 2/3 STRIKE study in patients with Motor Neurone Disease (MND), monepantel manufacturing, preclinical models, regulatory filings, working capital, and offer costs. In addition, the Company will offer a Share Purchase Plan (SPP) to eligible shareholders at the same offer price as the Placement. PharmAust is focused on repurposing monepantel for amyotrophic lateral sclerosis (ALS) and anticipates commencing enrolment in H2 CY 2024 for a registration adaptive Phase 2/3 STRIKE clinical study. The company aims to address the significant market potential in the Neurodegenerative Disease Market, estimated to reach USD 77.82 billion by 2029. The funds raised will enable PharmAust to progress its corporate strategy and achieve key milestones in its clinical-stage biotechnology development.