Reglagene Announces Closing of $5.4 Million Private Placement
Reglagene, Inc., a pioneering therapeutics company at the forefront of developing breakthrough therapies for brain diseases utilizing small molecule medicines that cross the blood-brain barrier to treat high grade gliomas and other cancers, announced that it has closed its non-brokered private placement of convertible preferred stock.
The offering, which was oversubscribed, resulted in aggregate gross proceeds to the company of $5.4 million, which included principal and interest from convertible debt instruments issued in June 2021 that were automatically converted.
The private placement included participation from management, and from accredited investors including Desert Angels, the Cancer Fund, Tech Coast Angels, Angel Star Ventures, and Viva BioInnovator.
Proceeds from the transaction will be used to complete selection of the clinical development medicine for the treatment of brain cancers, to complete toxicology and drug disposition studies to confirm the safety and to determine how organisms process the therapy, to initiate regulatory and clinical trial planning, and to conduct research and development to expand the product pipeline to neuroinflammatory and ocular diseases.
Qaizar Hassonjee, founding board member of Angel Star Ventures, said, “Angel Star Ventures is thrilled to be part of Reglagene’s transformative journey. Reglagene’s innovative solutions and commitment to overcoming critical challenges in brain disease treatment align perfectly with our investment philosophy. ASV members look forward to contributing to Reglagene’s success and witnessing the positive impact on patients’ lives.”
Commenting on the transaction, Reglagene CEO Richard Austin, Ph.D., MBA, said, “The inability of previous therapies to penetrate the blood-brain barrier has long been a roadblock in the search for new therapies to treat brain diseases. Reglagene addresses this problem and paves the way for effective therapies that would offer brain cancer patients new hope. We are appreciative of the strong support we’ve received from investors. We believe that this support will provide sufficient capital to confirm the utility and safety of our innovative therapy, prepare for a pre-Investigational New Drug meeting with the FDA, and optimize and scale up manufacturing for our lead asset.”
