Imugene Raises $22.5M, Launches $15M SPP to Power Azer-cel Trial

Strong Capital Raise Backing

Imugene Limited (ASX, IMU), a clinical-stage immuno-oncology company, has successfully secured firm commitments for a $22.5 million institutional placement priced at $0.33 per share. This placement attracted new Australian and international institutional and sophisticated investors, reflecting strong market confidence in Imugene’s pipeline and strategy.

Following this, Imugene has launched a Share Purchase Plan (SPP) aimed at raising up to an additional $15 million from existing eligible shareholders, also priced at $0.33 per share. This move allows retail investors to participate on the same terms as institutional investors, a gesture that often helps maintain shareholder goodwill and broadens the company’s capital base.

Innovative Option Structure to Enhance Value

Both the placement and the SPP come with an attractive incentive, for every four new shares subscribed, investors receive three free attaching listed options exercisable at $0.43, expiring in March 2026. Furthermore, upon exercising these attaching options, investors will be granted piggyback options exercisable at $0.86 with a longer expiry in June 2028. This layered option structure not only provides immediate value but also potential upside participation in Imugene’s future share price appreciation.

Shareholder approval for the issuance of these options is scheduled for an extraordinary general meeting in August 2025, a key event investors will watch closely.

Funding the Azer-cel Clinical Program

The capital raised is earmarked primarily to advance Imugene’s azer-cel program, an off-the-shelf CAR T cell therapy targeting blood cancers. The funds will support the program through to initiating a pivotal Phase 2 clinical trial expected in calendar year 2026. This trial represents a critical milestone for Imugene, potentially validating its novel immunotherapy approach and positioning the company for future commercial opportunities.

Post-raising, Imugene anticipates a pro-forma cash balance of approximately $64 million, factoring in expected R&D rebates and cost-saving initiatives. This financial position extends the company’s operational runway into mid-2027, providing a comfortable buffer to navigate the clinical development pathway.

Market and Shareholder Implications

While the placement price reflects a discount of around 22% to the last close, the strong demand and the inclusion of attaching options suggest investor appetite for Imugene’s growth story remains robust. The potential exercise of options could inject up to a further $36.6 million in near-term funding, though this remains contingent on market conditions and investor decisions.

Managing Director Leslie Chong highlighted the company’s strengthened financial position and the promising efficacy data recently reported for azer-cel, underscoring confidence in the program’s trajectory. The upcoming shareholder meeting and the clinical trial’s progress will be pivotal in shaping Imugene’s next phase of growth.