Fusion Antibody Share News (FAB)

(Sharecast News) - Fusion Antibodies has raised £3m from investors to extend its research to cover potential treatments for Covid-19.
The AIM-traded antibody discovery company placed 3.33m new shares with existing and new investors at 90p each - 27% less than the closing price before the sale - to raise £3m before costs. To meet demand its existing shareholders also sold 547,235 shares to raise £492,511.

With scientists vying to find the first treatment for Covid-19, Fusion said it had received several enquiries about providing services for companies working on treatments.

It also plans to carry out its own research into Covid-19 using its antibody engineering platforms. Doing so will require more scientists, new equipment and third-party testing services, it said. The funds will also be used to meet existing oncology targets and for general corporate purposes.

"The race to find solutions to the current global health emergency has begun and so the directors believe that [the] company must act swiftly to take this opportunity to demonstrate the capabilities of its new technology," Fusion said.

The company's shares fell 14.3% to 105p at 11:29 BST.

Fusion said its trading was strong in the year to the end of March and that it ended the year with cash of £1.5m. It said it was positioned to keep trading through the crisis with limited impact on its services.