Noxopharm Ltd (ASX:NOX) is aiming to develop three first-in-class drugs, following a capital raise of $4 million via the issue of convertible notes to 40 Australian investors.
Noxopharm has raised the funds for its U.S.-based subsidiary, Nyrada Inc, which is aiming to list on the ASX in the form of CHESS Depositary Interests (CDIs) during 2018 along with an initial public offering.
The notes have a maturity date of July 2019 and will automatically convert to Nyrada shares at the time of a public listing.
Drugs targeting major unmet needs
The new funds are to be applied for the development of three drug assets:
• NYX-104 - a first-in-class neuroprotectant drug designed to minimise brain damage following stroke and traumatic brain injury such as concussion (e.g. sporting injuries);
• NYX-205 - a first-in-class anti-inflammatory drug designed to treat the condition of peripheral neuropathy, a painful condition affecting about 40% of cancer patients receiving certain common chemotherapies; and
• NYX-330 - a first-in-class small molecule PCSK9-inhibitor intended to treat high blood LDL cholesterol levels.
Key development milestones targeted over the next 12 month
Each of these three drugs is currently in pre-clinical development. The respective clinical indications have been identified and the first phase I study is targeted to commence in mid-2019.
Importantly, the new funds are expected to take each drug asset through a number of key development milestones over the next 12 month.
Preclinical programs in Australian universities and hospitals
Noxopharm’s R&D program is led by the experienced neuroscientist, James Bonnar.
He leads a group of Australian scientists who will oversee the preclinical programs, currently centred around Australian university and hospital research groups.
The recently raised funds give Noxopharm the ability to expand those collaborations offshore and to begin the process of raising the company’s profile internationally.