Cardio3 BioSciences,a Belgium-based developer of treatments for heart disease, raised €25m ($33.9m) from China-based biopharmaceutical company Medisun International yesterday through a capital increase.
The funding will come in two tranches, with the shares priced at €44 ($60) each, representing a 14% premium on Cardio3’s average price over the last 30 days. Cardio3 will use it to fund clinical trials in the US for its C-Cure heart failure indicator.
Medisun plans to purchase an additional €25m of shares from Cardio3’s existing shareholders over the next eight months, and Cardio3 has proposed that Medisun chairman Danny Wong is appointed as a director .
Cardio3 also formed a joint venture with Medisun to commercialise C-Cure in China and Taiwan that will be supported by a minimum of €20m ($27.1m), sourced from a syndicate of Chinese investors led by Medisun.
The Belgian company will hold a 40% stake in the JV, named Cardio3 BioSciences Asia Holdings, which will be reduced to 30% once clinical trials for C-Cure are running in three geographies.
Cardio3, listed on the Brussels and Paris Euronext markets, has secured €68.5m ($92.9m) in equity and €20.7m ($28.1m) in non-dilutive regional public financing, according to its website.