Aurinia Pharmaceuticals Inc., of Victoria, British Columbia, entered a controlled equity offering sales agreement with Cantor Fitzgerald & Co. pursuant to which the company may from time to time sell, through at-the-market offerings, such common shares that would have an aggregate offer price of up to $8 million. The company intends to use the proceeds primarily to fund its lupus nephritis trial program for voclosporin, including costs associated with initiating its planned phase III trial and for working capital and general corporate purposes. Shares of Aurinia (NASDAQ:AUPH) gained 42 cents, or 16.6 percent, to close Thursday at $2.95.
Axsome Therapeutics Inc., of New York, entered a $20 million term loan agreement with Silicon Valley Bank. Axsome intends to use the additional capital to support the ongoing development of its late-stage clinical pipeline, the company said, and the first $10 million tranche of the term loan will pay for a phase II/III trial testing AXS-05 in agitation in patients with Alzheimer's disease and simultaneously extend the cash runway through the end of 2017, the company said.
Cornerstone Pharmaceuticals Inc., of Cranbury, N.J., received a $10 million investment for a minority interest from IDT Corp., of Newark, N.J. Under the investment agreements, IDT has board representation, and IDT and its co-investors have the right to acquire a majority interest in Cornerstone, which develops oncology drugs. The company's lead compound, CPI-613, has generated encouraging preliminary results in early stage trials in patients with advanced pancreatic cancer, acute myeloid leukemia and T-cell lymphoma, IDT said.
Enterprise Therapeutics Ltd., of Brighton, U.K., closed a £4 million (US$5 million) financing led by existing investors Epidarex Capital and Imperial Innovations, which will be used to accelerate the company's three drug discovery projects toward drug candidate selection, said the company, which is developing muco-regulatory therapies for patients suffering with cystic fibrosis, chronic obstructive pulmonary disease and severe asthma.
Pluristem Therapeutics Inc., of Haifa, Israel, said its previously signed and announced term sheet for an investment into Pluristem of about $30 million by China-based Innovative Medical Management Co. Ltd. has been approved by the latter's board, so the term sheet is a binding agreement. The parties plan to enter into definitive agreements no later than Dec. 26.