Chimeric Therapeutics (ASX:CHM) Announces AU$5Mn Placement to Advance Cancer Trials

Highlights

• Chimeric Therapeutics is raising AU$5 million through a two-tranche placement to sophisticated and professional investors.
• Funds will primarily support the advancement of the CHM CDH17 CAR-T program in the newly initiated Phase 1/2 clinical trial.
• Executive Chairman Paul Hopper will participate in the placement with a AU$1 million investment.

Chimeric Therapeutics (ASX:CHM), an Australian cell therapy company, is undertaking a capital raising comprising a two-tranche placement to raise AU$5 million. The company has secured commitments from a range of institutional, sophisticated and professional investors. The funds raised will primarily support Chimeric’s clinical trial programs.

The issue price is set at AU$0.008 (0.8 cents) per new fully paid ordinary share. The capital raise will involve approximately 625 million placement shares and includes unlisted options, granting one option for each share issued, with an exercise price of AU$0.008 and a 12-month expiration. The second tranche of placement shares and any shares issued to directors will require shareholder approval.

Data source: Company update

Chimeric’s Executive Chairman, Mr. Paul Hopper, plans to subscribe for 125 million placement shares, representing AU$1 million of the total AU$5 million placement. The shares will be issued to him or his nominee, pending shareholder approval.

Proceeds from the placement will primarily support Chimeric’s clinical trial pipeline and cell therapy portfolio, including:

• CHM CDH17 CAR-T Program: First patient dosed in a Phase 1/2 trial for various cancers, with two active sites and more planned for H2 2024.
• CHM CLTX Program: A novel CAR T therapy currently in a Phase 1b clinical trial for glioblastoma, showing promising initial data.
• CORE NK Platform: A Phase 1B clinical trial assessing NK cells combined with Vactosertib in patients with advanced colorectal and blood cancers, following a successful Phase 1A trial. Additionally, CHM has begun a trial to evaluate the synergy of NK cell therapy with the current standard of care for blood cancer, Azacitidine, and Venetoclax (aza/ven).

Funding will also cover general working capital and capital-raising costs.

The share price of CHM was AU$ 0.014 at the time of writing on 21 Oct 2024.