Argent BioPharma Secures $4.5M to Advance Neuro-Immune and Nano-Medicine Drug Pipeline, Shares Jump 47%

2 min read | January 07, 2025 12:15 PM AEDT | By Team Kalkine Media

Capital Raise Details

The capital raise, conducted via the subscription of 11.25 million fully paid ordinary shares at US$0.40 (~A$0.64) per share, also includes free attaching warrants. Participants will receive one warrant for every two shares subscribed, with an exercise price of US$0.55 (~A$0.88) and a three-year expiry from issuance.

The raise will be conducted in two tranches:

Tranche 1: 5 million shares and 2.5 million warrants will be issued immediately under ASX Listing Rules 7.1 and 7.1A.
Tranche 2: 6.25 million shares and 3.125 million warrants will be issued subject to shareholder approval at an upcoming general meeting.

The issue price represents a 370% premium to the 15-day VWAP of A$0.173 and a 377% premium to the last closing price of A$0.17 before Argent entered a trading halt on January 3, 2025.

Advancing Drug Pipeline and Strategic Focus

Proceeds from the raise will primarily support Argent’s flagship drug CannEpil®, as the company prepares for planned clinical studies targeting unmet medical needs in central nervous system disorders. Argent is also undertaking a strategic review of its operations to ensure long-term sustainability.

This follows the company’s decision to delist from the London Stock Exchange (LSE) as part of a broader plan to reposition its operations and work toward a US national listing.

Market Reaction

The announcement sparked a surge in investor confidence, with RGT shares rising by 47% to trade at AU$0.25 on 7 January 2025.

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