Faron Pharmaceuticals Oy (LON:FARN) has completed the first part of its £2.8mln fundraising, with £1mln raised from institutional investors and investor Timo Syrjälä.
The AIM-listed company, which announced the fund-raising at the start of the week, is now offering existing shareholders the chance to buy €2mln more shares in an open offer at the same issue price of 106p.
The cash injection will allow Faron to continue clinical development of its promising Clevegen cancer drug into the first quarter of next year.
Additionally, the new money will provide a cushion of working capital while the company seeks a partner for the drug.
Existing shareholders on the register on Tuesday will be able to buy 2 open offer shares at the issue price for every 45 existing ordinary shares they own.