Oxford BioDynamics Plc, the Oxford biotech developing targeted clinical diagnostic tests for immune health using its EpiSwitch 3D genomics technology, has raised £3.62 million from leading US-based healthcare fund, Armistice Capital Master Fund Ltd at a price of 46.5 pence per subscription share.
In addition, the company has agreed to issue Armistice Capital 7,791,803 warrants to subscribe for new ordinary shares (“Warrants”). The Warrants have an exercise price of 58.125 pence, representing a 25 per cent. premium to the Subscription Price.
Subscription shares and warrants give the holder the right – but not the obligation – to buy shares in a company at a fixed price on a specific date or period in the future.
The Subscription Price of 46.5 pence per New Ordinary Share is equal to the closing mid-market price on 22 October 2021. The 7,791,803 Subscription Shares have been issued under existing shareholder authorities and represent 8.42% of the issued share capital immediately before the Subscription.
The Company will also issue to Armistice Capital, conditional on the approval of shareholders in a General Meeting, warrants to subscribe for 7,791,803 new ordinary shares. The Warrants are exercisable for cash between one and five years from the date of issue.
Oxford BioDynamics has achieved several key milestones this year as it has pursued its expanded strategic focus. Commercially, the company has launched EpiSwitch® CST – its COVID-19 Severity Test – in the US and its EpiSwitch® Explorer Array Kits to the research community. In August Oxford BioDynamics‘s EpiSwitch® diagnostics platform was awarded a prestigious US FNIH Partnership for Accelerating Cancer Therapies (PACT) Grant. The Group also recently moved into its purpose-built 24,000 sq. ft headquarters in Oxford, UK and its new commercial offices in Gaithersburg, MD, USA.
The company intends to continue to focus on commercialisation of its pipeline of molecular diagnostic tests in the US market, partnering with US commercial labs, establishing a US early adopter market of concierge physicians and oncologists for its first tests and setting the table for future clinical utility and market recognition.
Oxford BioDynamics’ directors consider that the addition of Armistice Capital to the Company’s significant shareholders will enhance OBD’s recognition and standing in the important US financial market.
Dr Jon Burrows, CEO of Oxford BioDynamics plc, said: “We welcome Armistice as a new investor in the Company. The US pharmaceutical and biotech markets dominate the global arena, supported by experienced and highly knowledgeable specialist investors.
“The travel restrictions caused by the pandemic have made development and commercial launch of products especially challenging and we are proud of what we have achieved to date. These new funds not only provide a solid foundation to support our continuing activities, particularly the imminent launch of our EpiSwitch® CiRT Checkpoint Inhibitor Response Test for cancer, but will also enable us to drive our expanded strategy onwards.”