Swedish research-based late-stage biotech Cinclus Pharma has raised around 22 million euros in a private placement led by Trill Impact. A number of Swedish and international institutional investors joined the round along with its existing shareholders. Nordic life science venture group Eir Ventures I AB, Irrus Investments Nominee Limited, Fjärde AP-fonden (The Fourth Swedish National Pension Fund) and Linc AB participated in the transaction. Cinclus Pharma aims to use this capital, which it will also spend in terms of commercialization, as capital to expand its shareholder base.
Cinclus Pharma has carried out a successful private placement of approximately SEK 240 million
Cinclus Pharma Holding AB, a biopharmaceutical company focused on the development of a novel treatment for gastroesophageal reflux disease (“GERD”), has completed a private placement of approximately SEK 240 million. The purpose of the Private Placement is to raise capital to be used to accelerate the Company’s commercialization strategy and to broaden the shareholder base. The Private Placement was oversubscribed and a number of Swedish and international institutional investors, including certain existing shareholders, participated in the transaction. Among those, Trill Impact (lead investor), Eir Ventures I AB, Irrus Investments Nominee Limited, Fjärde AP-fonden and Linc AB.
“Our long-term goal is to reach a market leading position for our P-CAB linaprazan glurate. The proceeds will help accelerate our road to approval and commercialization. We are thankful for the support from current and new shareholders, and excited to further strengthen our investor base,” said Christer Ahlberg, CEO of Cinclus Pharma.
“We see this as a great example of a company where commercial opportunity and impact go hand in hand. Trill Impact is excited to collaborate with the Cinclus team and its strong shareholder base, including AP4 and Linc, to help bring this product to patients worldwide”, said Nina Rawal, Trill Impact Partner.
The Board of Directors of Cinclus Pharma has, based on the authorization to issue shares granted by the extraordinary general meeting on 19 April 2022, resolved on a private placement of approximately SEK 240 million. Among the investors were Trill Impact, Eir Ventures I AB, Irrus Investments Nominee Limited, Fjärde AP-fonden and Linc AB. In connection with the Private Placement, Nina Rawal from Trill Impact, has been elected to the Board of Directors.
The Company intends to use the net proceeds from the Private Placement to strengthen its financial position and continue to execute on the Company’s commercialization strategy. This includes:
- Clinical studies – additional phase III studies for a new indication which will secure additional data exclusivity in US
- Non-clinical studies – long-term tox study to prepare for market approval
- Clinical pharmacology work – studies that indicate how the drug behaves in the body
- CMC work
- Other general corporate purposes