Meanwhile.https://bit.ly/3D6NWptRadiopharm in $10m rights...

Meanwhile.

https://bit.ly/3D6NWpt

Radiopharm in $10m rights issue

Oct 18, 2022

Radiopharm Theranostics, which listed on the ASX last year, was expected to ask investors to tip in $10 million via an accelerated rights issue on Tuesday morning.

Biotech entrepreneur Paul Hopper wants specialist investors on the registry of Radiopharm.

The offer was on a one-fo r3.55 basis and priced at 14¢ a share, a 15.2 per cent discount to the last close. It included a one-for-one listed option with a 20¢ strike price and four-year expiry, and was split into institutional and retail legs.

It represented about 28 per cent of Radiopharm’s total shares on issue.

Radiopharm was expected to back its cash call with phase 2a data from its brain metastases diagnostic trial. It was expected to tell investors the phase 2a trials didn’t have any adverse safety events and mirrored phase 1’s results.

Potential investors were told to think of commercialised radiopharmaceutical diagnostics, which ASX-listed Telix ($1.8 billion market capitalisation) and NASDAQ-listed Lantheus ($US4.9 billion market) use for prostate cancer.

Radiopharm’s pitch was it was using the same tech for brain metastases, which was a much larger market.Bell Potter was the lead manager and Baker Young was the co-manager. They were calling for bids into institutional shortfall by 5pm on Wednesday.

Radiopharm had a $42 million market capitalisation, and shares have traded consistently below the 60¢ IPO price from its listing last November.

It had $26.9 million cash at June 30, and is slated to talk to the US Food and Drug Administration in 2023 about the next phase of trials.

Its biggest shareholder is biotech entrepreneur Paul Hopper with 35.5 per cent of the register.