Dundee drug discovery firm Cyclacel has raised $15.2 million in development cash in an oversubscribed fundraising round in America.
The Dundee University spin-out – which is headquartered in New Jersey but which carries out the majority of its scientific research at its European operations base at James Lindsay Place at Dundee Technopole – had been aiming to raise $13.2m.
The funding round was supported by a mix of existing and new investors and it closed over the weekend having raised a total of $15.2m.
The closing figure is higher than first anticipated after the underwriter exercised an over-allotment option to purchase additional shares and warrants in the company.
In total the fundraising saw 3,154,000 common shares, 8,872 preference shares and warrants relating to 7,590,000 common shares snapped up by investors.
Paul McBarron, Cyclacel’s executive vice president, finance and chief operating officer, said the company was pleased with the outcome.
He said the money had been principally raised to support its lead clinical programme, CYC065, an enzyme with potential in the treatment of leukaemia and drug-resistant breast cancers.
“We have raised the money in order to give ourselves momentum in the (CYC065) clinical development programme, firstly with leukaemia and in combination with Venclexta, an Abbvie drug,” Mr McBarron said.
“That is the thrust of it.”
Cyclacel was founded in 1996 by the then Dundee-based cancer specialist Professor Sir David Lane, the man who discovered the highly significant p53 tumour suppressor gene.
The company established its Stateside presence in 2006 and its business development, medical and regulatory functions operate through the US office.
However, the core of Cyclacel’s scientific staff are based in Dundee.