Regulus Therapeutics Inc. has entered into a $30 million loan and security agreement with Oxford Finance LLC, the company announced Monday. The infusion of cash gives the local biopharma the runway needed to progress its products through the clinic.
"Access to this non-dilutive capital provides us with significant additional financial resources to advance our clinical development programs, and importantly, extends our cash runway into 2018," said Dr. Paul Grint, CEO of Regulus Therapeutics, in a statement. "We are pleased with the terms of the loan and the flexibility it offers us as we look to generate important new clinical data from our pipeline."
Regulus will receive $20 million upfront, which will boost its phase 2 clinical program for RG-101 for the treatment of chronic hepatitis C. An additional $10 million tranche will be available to Regulus as long as the company achieves certain specified milestones.
Regulus Therapeutics (Nasdaq: RGLS) is a public company with a market cap of over $300 million. The company’s shares are up 2.3 percent since the announcement of the new financing, currently trading at $5.85 per share.