multiQure, an innovative project developing a groundbreaking RNAi therapy for Huntington’s disease, is one step away from going public and securing financing. Biofund Capital Management and JD Copilot, the project’s investors, have signed a share subscription agreement with Pure Biologics, contributing in return, as an in-kind contribution, 100 percent of the shares in Dystrogen Gene Therapies Inc, the owner of the multiQure project. At the same time, ACRX Investments Limited, a significant shareholder of Pure Biologics, signed a share subscription agreement in exchange for the set-off of receivables. The signed agreements follow resolutions adopted at the recent Extraordinary General Meeting. The final, conditional step toward listing multiQure on the stock exchange is securing financing through the issuance of Series S shares.
Under the signed agreement, the multiQure project investors will subscribe for 146,700,000 Series Q shares at a price of PLN 1.00 per share, of which 112,850,000 shares will go to Biofund Capital Management and the remaining 33,850,000 shares to JD Copilot LLC. As payment for the shares, the investors contributed to Pure Biologics, as an in-kind contribution, 100 percent of the shares in Dystrogen Gene Therapies Inc, the sole owner of the multiQure project.
At the same time, Pure Biologics signed an agreement for the subscription of 16,804,603 Series R shares addressed exclusively to ACRX Investments Limited, based in Nicosia, the Company’s largest shareholder to date, in exchange for the conversion of loans granted to the Company by ACRX into shares. Through this transaction, ACRX increases its involvement in the new ownership structure, while the Company significantly reduces its debt and improves its balance sheet structure.
– We are one step away from bringing an exceptionally promising biotechnology project to the stock exchange — not only by Polish and European standards, but on a global scale. We have Shareholder approval and signed agreements that will soon give Polish investors exposure to the multiQure platform. The final step in implementing all the resolutions of the General Meeting is securing financing through the issuance of Series S shares. Preparations for this process are already underway, and we will announce its launch through official communication channels – comments Dr. Kris Siemionow, lead investor in the multiQure project and one of the shareholders of the Biofund fund.
During the Extraordinary General Meeting held on 10 June this year, the shareholders of Pure Biologics also approved the issuance of Series S shares – up to 50,000,000 new securities through a public offering addressed to qualified investors and investors acquiring shares with a total value of at least EUR 100,000 per investor. The issue price will be set by the Management Board based on the results of the book-building process. The funds raised in this way will support the development of the multiQure RNAi platform – primarily the Huntington’s disease therapy project.
The RNAi platform being developed by multiQure is a therapy for Huntington’s disease and other polyglutamine diseases. Its revolutionary aspect lies in targeting the root cause of the disease, halting its progression, and — when applied early enough and correctly — it has the potential to prevent the onset of its symptoms. Another major advantage is that the treatment is administered only once. The economic potential of the project was assessed by experts at Baker Tilly, who estimated its current value at USD 111.3 million, which translates to more than PLN 400 million.