01:49 AM EDT, 07/08/2022 (MT Newswires) -- Akeso (HKG:9926) is targeting to raise HK$582.5 million ($74.2 million) in a private placement to fund the commercialization and clinical trial of its key cancer drug, according to a Friday disclosure.
The pharmaceutical company is selling 24 million new shares at HK$24.27 apiece through placing agent Morgan Stanley.
The placing shares represent 2.85% of the company's issued share capital as enlarged by the deal.
About 60% of the proceeds will be used for the marketing and clinical studies of Cadonilimab, an immuno-oncology drug developed by Akeso for various indications such as gastric cancer, nasopharyngeal carcinoma and other malignant tumors.
The rest will go towards expediting clinical trials of other products in the pipeline, such as Ivonescimab and Ebronucimab.
The stock fell over 8% in the afternoon trade.