Last checked at 17 Dec 2021 07:00
Sareum Holdings plc
("Sareum" or the "Company")
Subscription to raise approximately £1.63 million to progress proprietary TYK2/JAK1 programmeSDC-1801 through Phase 1a clinical development
Cambridge, UK, 17 December 2021 - Sareum Holdings plc (AIM: SAR), the specialist small molecule drug development company, announces that it has raised approximately £1.63 million, before expenses, through a subscription by new and existing high net worth individuals (the "Subscribers") for 32,636,311 new ordinary shares of 0.025p each in the capital of the Company ("Ordinary Shares") (the "Subscription Shares") at a price of 5.0p per share (the "Subscription Price") (the "Subscription").
The Subscription Price represents a discount of approximately 3.8 per cent to the closing middle market price for Sareum shares on 16 December 2021.
The net proceeds from the Subscription will enable the Company to advance its two proprietary TYK2/JAK1 inhibitor programmes: SDC-1801, which is targeting autoimmune diseases, including the potentially life-threatening hyper-inflammatory response (the "cytokine storm") that affects some Covid-19 patients, through Phase 1a clinical development; and SDC-1802, which is targeting cancers, through preclinical development; as well as for working capital purposes.
As noted in its Final Results Statement of 25 October 2021, the Company is targeting the application for a Clinical Trials Authorisation for SDC-1801 in mid-2022, subject to successful progress. Clinical trial plans, including priority autoimmune indications and potential Covid-19 application, will also be developed in parallel. Preclinical development of SDC-1802 will be accelerated and is expected to complete in 2023, again subject to successful progress.
Application will be made for the 32,636,311 Subscription Shares, which will rank pari passu with the Company's existing Ordinary Shares, to be admitted to trading on the AIM market of the London Stock Exchange ("AIM") ("Admission"). It is anticipated that Admission will become effective at 8.00 am on 23 December 2021. The Subscription is subject to normal conditions including, inter alia, Admission.
Total Voting Rights
For the purpose of the Disclosure Guidance and Transparency Rules, following the above issue of equity, the issued share capital of the Company will comprise 3,403,470,791 Ordinary Shares. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure Guidance and Transparency Rules.
Dr Tim Mitchell, CEO of Sareum Holdings plc, said: "This new subscription brings the funds raised by Sareum this year to over £6 million, reflecting the strong and continuing interest in our proprietary TYK2/JAK1 development programmes. Our significantly strengthened financial position will now enable us to take SDC-1801 through Phase 1a clinical development to assess its safety in healthy human volunteers. We also have the resources to complete the preclinical development for SDC-1802 for cancer. 2021 has been a significant year for Sareum and we look forward to reporting progress with our TYK2/JAK1 inhibitor development programmes in 2022."
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018.
For further information, please contact:
Sareum Holdings plc Tim Mitchell, CEO
|
012 2349 7700 |
Strand Hanson Limited (Nominated Adviser) James Dance / James Bellman
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020 7409 3494 |
Peel Hunt LLP (Joint Corporate Broker) James Steel
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020 7418 8900 |
Hybridan LLP (Joint Corporate Broker) Claire Noyce
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020 3764 2341 |
MEDiSTRAVA Consulting (Financial PR) Mark Swallow / David Dible |
020 7638 9571 |
About Sareum
Sareum is a specialist drug development company delivering targeted small molecule therapeutics to improve the treatment of cancer and autoimmune diseases. The Company aims to generate value through licensing its candidates to international pharmaceutical and biotechnology companies at the preclinical or early clinical trials stage.
Sareum is advancing internal programmes focused on distinct dual tyrosine kinase 2 (TYK2) / Janus kinase 1 (JAK1) inhibitors through preclinical development as therapies for autoimmune diseases, including the 'cytokine storm' immune system overreaction to Covid-19 and other viral infections, (SDC-1801) and cancer immunotherapy (SDC-1802).
Sareum also has an economic interest in SRA737, a clinical-stage oral, selective Checkpoint kinase 1 (Chk1) inhibitor that targets cancer cell replication and DNA damage repair mechanisms. Preliminary Phase 2 and comprehensive preclinical data suggest SRA737 may have broad application in combination with other oncology and immune-oncology drugs in genetically defined patients.
SRA737 was discovered and initially developed by scientists at The Institute of Cancer Research in collaboration with Sareum, and with funding from Sareum and Cancer Research UK. SRA737 was licensed by CRT Pioneer Fund (CPF) to Sierra Oncology Inc. Sierra continues to explore options that would enable the development of SRA737 to advance.
Sareum Holdings plc is listed on the AIM market of the London Stock Exchange, trading under the ticker SAR. For further information, please visit the Company's website at www.sareum.com
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