OncoZenge enters into SEK 30.2 million investment agreement with new strategic investor Sichuan Yangtian Bio-Pharmaceutical, intended to be carried out through directed share issues
Summary
With their investment, we have secured the necessary funds for our registrational Phase 3 trial, which is currently in final scoping reviews with our intended European partner and licensee, Molteni Farmaceutici. These agreements, which together deliver on our partner strategy, position us to unlock the significant value creation potential we see in BupiZenge.Introduction to Yangtian and statement from its chairman:Yangtian Pharma Co, headquartered in Chengdu, Sichuan, is a Chinese pharmaceutical company, founded in 1993 now with more than 30 years of experience, which develops, manufactures, and distributes drugs, based on both modern medicine and traditional Chinese medicine. Development and filing of intellectual property (IP) in support of global licensing; Required resourcing of sponsor oversight roles needed for the clinical trial (Regulatory, CMO, program management etc); Management, legal, finance, Nasdaq listing fees and other regulatory OPEX; and Development of strategy for launch of USA market plan.Pursuant to the Investment Agreement, the Investor has committed to subscribe for a total of maximum 4,669,647 new shares in the Company at a subscription price of SEK 6.47 per share. Furthermore, the shareholders have also committed to vote in favor of a board candidate nominated by the Investor, conditional of the Investor reaching an ownership stake in the Company of not less than twenty (20) percent of the share capital and votes and at the request of the Investor.Eurosin has acted as financial advisor and Fredersen Advokatbyr\xe5 AB has acted as legal advisor to the Company in relation to the Investment.OncoZenge is dedicated to developing an innovative, effective, and well-tolerated treatment for oral pain in conditions where current options fall short, often due to insufficient pain relief or significant side effects. Oral mucositis leads to severe physical and psychological distress, representing a significant unmet medical need for an effective, opioid-sparing treatment.