The new incarnation of 3 Legs Resources (LON:3LEG) as SalvaRx - a junior cancer drug firm - is set to float in London tomorrow (March 22) following a reverse-takeover and fundraise to bring in £1.95mln.
Its plan is to acquire, invest in and operate a portfolio of companies involved in the fast-growing cancer immunotherapy market.
Immunotherapy is the new buzz therapeutic area and the the immuno-oncology market is expected to grow to US$80 billion worldwide by 2020.
In 2015, SalvaRx acquired 60.5% in iOx, which is developing, under licence from the Ludwig Institute, a series of small molecules for cancer immunotherapy
These compounds activate iNKT cells which preclinical testing suggests can inhibit the growth of tumours.
iOx has a clinical trial sponsorship agreement with the University of Oxford to fund the first in human Phase I/II clinical trial for its lead compound, expected to reduce costs to SalvaRx.
As revealed earlier this month, 3Legs existing share capital is to be reorganised, with a 100:1 consolidation. Subsequently, new shares will be issued at a price of 35.5p to satisfy the £8.8mln acquisition price for SalvaRx. A £1.95mln share placing will then take place, also at a price of 35.5p.
3Legs will be renamed SalvaRx Group Plc, and as the new AIM shares are admitted to AIM the stock market symbol will be changed to SALV.