Jennerex raises funds through private placement for clinical development programs

Sep 19 2009

Jennerex, Inc. (San Francisco, CA and Ottawa, Ontario), a clinical stage biopharmaceutical company developing a proprietary breakthrough product class of targeted oncolytic virus therapeutics, today announced the Second and final closing of a private placement financing with aggregate gross proceeds of US $5,611,475, exceeding the target of US $5 million.

As previously reported, the net proceeds of the private placement will be used to continue advancing the Company's clinical development programs with the lead product JX-594. Key value creating milestones planned for the next 12 months include completion of a randomized Phase II trial in liver cancer, followed by initiation of a pivotal Phase III trial in liver cancer. In addition, Jennerex plans to complete a Phase I trial in solid cancers (including lung and colorectal), followed by initiation of a Phase II colorectal cancer trial. Proceeds will also be used for manufacturing, general corporate purposes and to augment working capital.

"This Series C was a success due both to continued investment from many of our current Shareholders, as well as support from a number of important new investors. We are particularly pleased to welcome the Ottawa Regional Cancer Foundation as a significant new investor," said David H. Kirn, M.D., President and CEO. "Jennerex and the Foundation share a common vision of extending and preserving the lives of patients with cancer. We also share a common commitment to build on the great strength of biological research and world-class facilities at the Ottawa Hospital Research Institute (OHRI). The Cancer Foundation's participation will further support and extend the scope of joint research and development activities being undertaken in partnership with Jennerex at the OHRI, including expansion of manufacturing and clinical trial activities," said Dr. Kirn.