enGene Holdings Inc. (Nasdaq: ENGN), a clinical-stage genetic medicines company, has announced an agreement to sell 6,758,311 of its common shares at a price of $8.90 per share. This financing round is expected to close on October 29, 2024, pending customary closing conditions. The company anticipates gross proceeds from the private placement to be approximately $60 million before deducting any related expenses.
Participation in the financing came from both new and existing investors, including Deep Track Capital, Cormorant Asset Management, Forbion, OrbiMed, Sphera Healthcare, Vestal Point Capital, and Venrock Healthcare Capital Partners.
enGene plans to use the net proceeds from this financing to advance the development of its lead investigational product, detalimogene voraplasmid (also known as detalimogene or previously EG-70), which is currently in a pivotal study for patients with high-risk, Bacillus Calmette-Guérin (BCG)-unresponsive, non-muscle invasive bladder cancer (NMIBC) with carcinoma in situ (Cis). The funds will also support pre-commercial activities, potential expansion of the DDX platform, and general working capital needs. The combined proceeds from this financing and current cash and cash equivalents are expected to be adequate to sustain operations through 2027.
Leerink Partners, Piper Sandler & Co., Guggenheim Securities, and Wells Fargo Securities are serving as placement agents for the private placement.
The securities involved in this transaction have not been registered under the Securities Act of 1933, as amended. Consequently, they may not be offered or sold in the United States unless there is an effective registration statement or an applicable exemption from the registration requirements. enGene has committed to filing a registration statement with the U.S. Securities and Exchange Commission (SEC) to register the resale of the common shares issued in this private placement. Any offerings of the securities under the resale registration statement will be conducted solely through a prospectus.
This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction where such offer, solicitation, or sale would be unlawful before the registration or qualification under the securities laws of that jurisdiction.
