Ondine Biomedical Inc shares were up on early Friday afternoon, after the company announced plans to conduct a fundraise to support commercialisation of its flagship antimicrobial therapy.

Shares in the Vancouver-based life sciences company were up 37% at 7.00 pence each in London on early Friday afternoon. The stock is down 63% over the past 12 months.

Ondine announced a proposed fundraise for no less than £3 million though a placing and subscription offer of new shares at an issue price of 7p each.

The issue price represents a 40% premium to the company’s Thursday closing share price of 5.00p.

The company has already received interest in the subscription offer from the majority of its directors, representing a total of around £290,000.

Proceeds from the fundraise will provide general working capital, Ondine said, but also support phase 3 clinical trial preparations as the company accelerates the commercialisation of its Steriwave antimicrobial.

In addition, the £3 million will extend Ondine’s financial runway to at least the third quarter of 2024, the company said.

Chief Executive Officer Carolyn Cross said: ‘We are pleased to have the support of existing and new investors through this fundraising which meets our near-term working capital needs and assists our rapid commercial growth rate. This funding will take us forward commercially and further our discussions with industry partners on our clinical, financial, and global distribution objectives.’

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