TransCode Therapeutics Inc. (NASDAQ:RNAZ) said it has secured a financing agreement with an institutional healthcare investor that could provide the company with up to $20 million in funding.
The arrangement includes up to $6 million in prepaid advances, along with a three-year Standby Equity Purchase Agreement that allows TransCode to sell as much as $14 million in common stock to the investor, subject to specific conditions.
TransCode, a clinical-stage biotechnology company, is developing RNA-based therapies and immuno-oncology treatments aimed at high-risk and advanced cancers. The new funding is expected to support its ongoing Phase 2a clinical trial for TTX-MC138, the company’s lead therapeutic candidate.
“The financing agreement provides TransCode with financial flexibility and ensures that TransCode can maintain operational momentum as we conduct our Phase 2a trial for our lead clinical program, TTX-MC138,” said Dr. Philippe P Calais, Chairman and CEO of TransCode.
Chief Financial Officer Tom Fitzgerald said the financing should allow the company to complete the Phase 2a trial and then evaluate potential strategic partnerships related to the program.