Hemogenyx’s Strategic Fundraise Fuels Clinical Momentum Amid Regulatory Navigations

Hemogenyx Pharmaceuticals PLC’s recent £451,250 fundraise through a share allotment at 180.5p per share has injected critical capital into its lead CAR-T therapy program for relapsed/refractory acute myeloid leukemia (R/R AML). The transaction, structured through a director’s dealing and warrants, underscores a balancing act between securing growth capital and minimizing dilution—a challenge many biotech firms face.

The fundraise, completed on May 8, 2025, involved 250,000 new ordinary shares subscribed by CEO Vladislav Sandler under the UK’s employee offer exemption. Sandler then directed the shares to an institutional investor, who sold them to a third party at the same price. Crucially, the buyer received one warrant per share, exercisable at 270p over 36 months, with a reset clause that lowers the exercise price if Hemogenyx issues equity at a lower price during the period.

The transaction’s structure reflects a strategic maneuver to avoid discounting shares below market levels. By aligning the issue price with the bid price on May 7, Hemogenyx signaled confidence in its valuation. The warrants, while dilutionary if exercised, incentivize the buyer to hold the shares and participate in upside potential.

Clinically, the funding is directed toward Hemogenyx’s Phase I trial for HG-CT-1, its chimeric antigen receptor T-cell (CAR-T) therapy targeting CD33, a protein expressed in AML. With two patients already infused, the trial’s progress is a key milestone. CAR-T therapies like HG-CT-1 have shown promise in hematologic malignancies, though competition is fierce. Novartis’ CAR-T product, for instance, commands a price of $373,000 per treatment, highlighting the potential market opportunity.

However, risks remain. The trial’s early stage—Phase I focuses on safety—means efficacy data is still years away. Additionally, the total issued share capital will rise to 4,343,539, a 6% increase from pre-transaction levels, which could dilute existing shareholders if further fundraising is needed. **** will be critical to monitor, as volatility in biotech equities often correlates with clinical trial outcomes.

Regulatory compliance was another highlight. The transaction adhered to the UK’s Prospectus Regulation and Market Abuse Regulation, with the inside information properly managed. Hemogenyx’s US operations—via subsidiaries in New York—also position it to leverage the FDA’s accelerated approval pathways for oncology therapies, a strategic advantage in a market where US sales often drive revenue.

Investors should weigh Hemogenyx’s progress against its financial runway. The £451k raise, while modest by industry standards, may extend its cash position through the next phase of trials. The warrants’ reset clause, however, introduces a contingent liability: if Hemogenyx issues equity below 270p before May 2028, warrant holders could gain additional shares, further diluting existing investors.

In conclusion, Hemogenyx’s fundraise represents a prudent step to advance its AML therapy, leveraging regulatory exemptions and warrant incentives to secure capital efficiently. While the clinical trajectory of HG-CT-1 remains the primary determinant of success, the transaction’s structure balances urgency with shareholder protection. With two patients treated and a clear path to Phase II, Hemogenyx has bought itself time to prove its CAR-T platform’s promise—a critical edge in a crowded, high-stakes field.

Data note: As of May 2025, Hemogenyx’s market cap stands at approximately £7.8 million, based on 4,343,539 shares at 180.5p. This compares to peers like Bellicum Pharmaceuticals, which trades at ~$1 billion, underscoring Hemogenyx’s early-stage valuation.