Neuren secures funds to progress Rett syndrome trial

Company News

by Jessica Amir

Neuren Pharmaceuticals (ASX:NEU) has secured funding to commence key activities for Phase 3 of its trial, aimed at developing treatment for Rett syndrome.

The biopharmaceutical company focused on treating brain injuries, neurodevelopment and neurodegenerative disorders is set to receive $11.5 million through the placement of new shares.

As part of the new funds, $10 million of that coming from UK fund, Lanstead Capital, while Neuren also received supporting investments from Rettsyndrome.org.

As a result, the company will now finalise the drug manufacturing process for commercial supply, meet with the US FDA to discuss development and also conduct further studies as part of its Phase 3 trial.

Neuren says despite its share price being under pressure since its March’s trial results exceeded expectations, it has now removed the funding uncertainty, while it also expects to receive FDA feedback within three months.

In additional to that, the company says over the next 18 months Lanstead’s investment will potentially increase its share price.

Shares in Neuren Pharmaceuticals (ASX:NEU) are trading 11.84 per cent lower to 6.7 cents. 
 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 with a passion for equities and funds management. As Head of News, she has been a broadcast journalist for over seven years, specialising in finance. She has been a journalist with Sky News Business, ABC 1, ABC's The Business and ABC24. She’s also worked as a TV reporter for regional Channel 7 and 9. She also previously worked as a financial planner and real estate agent.