Avacta denies press speculation over potential fundraising

19th Jun 2023 10:16

(Sharecast News) - Oncology drug developer Avacta Group responded to recent market speculation over a potential fundraising initiative on Monday.

The AIM-traded company said it regularly evaluates various funding opportunities, both dilutive and non-dilutive, to ensure the continued financial stability of its business operations while safeguarding the interests of stakeholders.

In line with that strategy, the firm said it engages in ongoing discussions with existing shareholders and potential investors.

However, Avacta clarified that there were currently no immediate plans for a fundraising campaign.

As at 31 May, Avacta maintained a cash balance of £27m.

"The therapeutics division of the company continues to make good progress in the phase one clinical trial of AVA6000, its lead 'preCISION' targeted chemotherapy, having initiated dosing in the fifth cohort in April, and its diagnostics division recently completed the second acquisition of its buy and build strategy," the board said in its statement.

At 0953 BST, shares in Avacta Group were up 5.86% at 104.8p.

Reporting by Josh White for Sharecast.com.