Skip to main content
Premium Trial:

Request an Annual Quote

Benitec Raises $8.5M in Oversubscribed Rights Issue

Premium

Benitec said this week that its previously announced A$8 million ($8.5 million) renounceable rights issue has successfully closed oversubscribed.

“The offer was four new shares for every five fully paid ordinary shares held, plus one new free listed option for every four new shares issued, resulting in the issue of 404,565,897 new shares and 101,141,474 new listed options with an exercise price of AU$0.04,” the company said. “A further 100,160,982 options, with the same terms … will be issued to the sub-underwriters of the issue.”

Rights issue acceptances were received for 302,716,126 shares, with the shortfall applications from existing shareholders causing the remainder of the issue to be oversubscribed, it added.

“Demand for Benitec stock through the rights issue has been exceptionally strong, resulting in demand outstripping supply,” Benitec Chairman Peter Francis said in a statement. “Not only was there a very high proportion of entitlements taken up, but a significant percentage of shareholders applied for shares in excess of their entitlement.”

The financing comes at a critical time for Benitec, which is working to turn itself around after a years-long fight over its core US patent. After claims in the patent were repeatedly invalidated during a re-examination process at the US Patent and Trademark Office, earlier this year the agency confirmed the patentability of all the claims (GSN 2/27/2011).

With the cornerstone of its intellectual property portfolio upheld, the company set its sights on fundraising a few months later, hoping to raise enough money to support its three drug-development programs (GSN 4/14/2011).

"Together with the favorable ruling by the US Patent and Trademark Office late last year, and other favorable decisions since, including in Europe, this [financing] enables the relaunch of Benitec,” CEO Peter French said in a statement.

The Scan

UK Pilot Study Suggests Digital Pathway May Expand BRCA Testing in Breast Cancer

A randomized pilot study in the Journal of Medical Genetics points to similar outcomes for breast cancer patients receiving germline BRCA testing through fully digital or partially digital testing pathways.

Survey Sees Genetic Literacy on the Rise, Though Further Education Needed

Survey participants appear to have higher genetic familiarity, knowledge, and skills compared to 2013, though 'room for improvement' remains, an AJHG paper finds.

Study Reveals Molecular, Clinical Features in Colorectal Cancer Cases Involving Multiple Primary Tumors

Researchers compare mismatch repair, microsatellite instability, and tumor mutation burden patterns in synchronous multiple- or single primary colorectal cancers.

FarGen Phase One Sequences Exomes of Nearly 500 From Faroe Islands

The analysis in the European Journal of Human Genetics finds few rare variants and limited geographic structure among Faroese individuals.