Avecho Biotechnology has raised A$6 million through a share placement, taking the total generated through its recent round of funding to $8m.
The placement, supported by existing shareholders and new sophisticated and institutional investors, will see the issue of almost 537 million shares at $0.006c per share, a 33% discount on the August 22 closing price of $0.009c.
The funds will be used to underpin Avecho’s phase III clinical trial to test its TPM soft-gel CBD capsule in the treatment of insomnia.
Chief executive Dr Paul Gavin described the period as an “advanced and defining chapter of clinical development for Avecho”.
“In total we have raised approximately $8m in a very difficult financial climate to advance our proprietary TPM-enhanced soft-gel capsule,” he said. “We have clear and bold ambitions for this study and are resolutely focused on the important work ahead.”
Avecho’s clinical trial will compare nightly CBD doses of 75mg and 150mg with a placebo.