GTO15 will fund two tranches of €300,000 each of the existing convertible bonds program.
The €600,000 will be drawn in two successive tranches of €300,000 – the first this week, and the second as soon as a new prospectus of BioSenic will be finalized and approved by FMSA.
In light of this news, BioSenic anticipates having sufficient cash to carry out its business objectives until the end of January 2024.
The company is now focusing its efforts in organizing a fundraising event to allow the initiation of its phase 3 clinical trial with arsenic trioxide (ATO) to treat chronic graft versus host disease (cGVHD). The initiation is currently scheduled for Q2 2024.
François Rieger, CEO and chairman of BioSenic, said: "BioSenic is now establishing new major financial arrangements with strong commercial partners for the execution of its long-term clinical programs. These programs will start with BioSenic’s lead clinical trial in cGvHD with oral arsenic trioxide as a drug for this disease with high unmet medical need. BioSenic's pipeline should benefit from its previous successes in Phase 2 trials in both systemic lupus erythematosus and chronic graft-versus-host disease.
“We are on track for 505 b2 (FDA) and Hybrid (EMA) programs, which will allow us to accelerate access to marketing approvals for related indications in the autoimmune field. BioSenic needed to secure bridge financing in the short term and is pleased to have reached a balanced, time-limited, agreement with GTO15. This make it possible for BioSenic to secure the long-term future of its ambitious projects.”
GTO15 has agreed not to trade more than the higher of 25% of the daily trading volume of BioSenic's shares, equivalent to €5,000 per day, until the end of the program. According to the pharma company, this should efficiently limit the impact of the termination of the program on BioSenic stock.