According to the company, the net proceeds of the private placement will be used to advance the company’s clinical development programs, including lead product JX-594, which is currently being evaluated in a randomized Phase II clinical trial for liver cancer.
This is one of three clinical trials currently under way, which also include a Phase II trial for colon cancer and a Phase I trial targeting lung cancer and other solid tumors. Proceeds from the financing will also be used for research and development, general corporate purposes and to augment working capital.
Jennerex has also announced the appointment of Calvin Stiller to the company’s board of directors. Dr Stiller is chairman of the board and CEO of Stilco and BioQuest Innovations.
David Kirn, president and CEO of Jennerex, said: “This funding is expected to cover operations for the next 18 months, through the end of 2009, and specifically to fund the company through significant value inflection points, including completion of the above-mentioned clinical trials.”