Imagion Biosystems has raised $3.75 million to fund the start of its Phase 1b/2 clinical trial for the MagSense HER2 imaging agent in the US, following FDA clearance. The capital raising involves a two-tranche share placement with free attaching options, led by CPS Capital.
- Raised $3.75m via two-tranche placement at $0.012 per share
- Placement includes free attaching listed options exercisable at $0.04
- First tranche settled using existing placement capacity, second tranche subject to shareholder approval
- Funds to support Phase 1b/2 HER2 breast cancer trial initiation and drug manufacturing
- CPS Capital leads raising, to receive fees and options pending shareholder approval
Capital Raising Follows FDA Clearance for Clinical Trial
Imagion Biosystems (ASX:IBX) has secured firm commitments for a $3.75 million capital raising to fund the commencement of its Phase 1b/2 clinical trial for the MagSense HER2 imaging agent in the United States. This milestone follows the recent FDA clearance of the company’s Investigational New Drug application, a key regulatory hurdle that allows the trial to proceed.
The raise was led by CPS Capital Group, targeting sophisticated investors and family offices in Australia. The proceeds will primarily finance the initiation of the multi-site clinical trial, drug manufacturing activities, and further intellectual property development related to molecular MRI technology.
Placement Structure and Terms
The $3.75 million raise is structured as a two-tranche placement of fully paid ordinary shares priced at $0.012 each, accompanied by free attaching listed options exercisable at $0.04 and expiring in December 2027. The issue price represents a 24.32% discount to the recent 10-day volume-weighted average price, reflecting the typical pricing dynamics of early-stage capital raises in the healthcare sector.
Tranche 1 involves issuing approximately 49.3 million shares to raise about $592,000, utilising the company’s existing placement capacity. Tranche 2, which accounts for the remaining $3.2 million, is conditional on shareholder approval at an Extraordinary General Meeting scheduled for August 2026. Shareholder approval will also be sought for the issuance of the free attaching options and CPS Capital’s lead manager options.
Use of Funds to Accelerate Trial and Technology Development
Funds from the placement will support key activities including patient recruitment and dosing in the first cohort of the HER2 breast cancer trial, which is expected to begin in the third quarter of 2026. The company has already commenced trial activation steps across multiple US sites.
In addition to clinical trial execution, the capital will fund ongoing manufacturing of the MagSense imaging agent and development of intellectual property around molecular MRI. Imagion is also collaborating with MRI experts to enhance quantitative MRI techniques and AI modelling tailored to their imaging technology.
Management Participation and Fees
Directors and management have committed to subscribing for up to $100,000 worth of new shares, subject to shareholder approval. CPS Capital will receive a 4% capital raising fee and a 2% management fee on gross proceeds, alongside 30 million listed options as lead manager incentives, also subject to shareholder approval.
Settlement of the first tranche is expected on 29 June 2026, with shares trading from 30 June. The second tranche and related options will be issued after the EGM in August, assuming shareholder endorsement.
Bottom Line?
Imagion’s successful raise positions it to advance a critical clinical trial milestone, but the full capital injection hinges on shareholder approval, introducing a near-term uncertainty to watch.
Questions in the middle?
- Will shareholder approval in August unlock the full $3.2 million tranche of funding?
- How quickly can patient recruitment and dosing progress in the Phase 1b/2 trial?
- What impact will option exercises and share dilution have on existing shareholders?