BioSenic provides financial update

BioSenic, the innovative company addressing unmet medical needs in the areas of innate immunity, inflammation and organ/function repair, today provides a financial update.

BioSenic has obtained an official appointment of Yves Brulard to reach a negotiated agreement with certain main creditors to preserve the value of BioSenic for the benefit of all stakeholders. This will enable BioSenic to find the optimal route to continue delivering therapies to patients as quickly as possible. Confidential negotiations with certain main creditors are ongoing. The Company will provide regular updates on the evolution of the discussions.

BioSenic today also enters into an agreement with the ABO Securities subsidiary, Global Tech Opportunities 15, to secure short term financing on the basis of the existing convertible bond program. Subject to the terms and conditions of the agreement, BioSenic shall be entitled to draw down three tranches of each EUR 0.3 million in June, July and August under the existing convertible bond program, for an aggregate principal amount of EUR 0.9 million. The parties will discuss how to draw down the remaining EUR 600,000 of the existing program and have initiated discussions with a view to a possible renewal of the program. BioSenic is currently preparing a fundraising to be organized in Q3/Q4 2023 to initiate the Phase III clinical trial in chronic graft versus host disease (cGVHD) in Q1 2024.

With the short-term financing agreement and the current renegotiation of potential terms with main creditors, BioSenic anticipates having sufficient cash to carry out its business objectives during such process.

“I would like to thank ABO for the support it has provided and the institutional creditors for their support during this strategic period,” said Prof. François Rieger, PhD, Chairman and Chief Executive Officer of BioSenic. “The reorganization of BioSenic and the revaluation of its core assets has now been carefully implemented, eight months after the successful reverse merger of Medsenic and Bone Therapeutics to form BioSenic. The financial restructuring of the main debt is underway. This will put the company on a firmer financial footing and increase its attractiveness to investors. BioSenic’s primary current goal is to devote full financial resources to the development of our lead treatment program targeting cGVHD. The initial task will be to confirm previous results on the therapeutic value of an arsenic salt in its oral formulation. Using the 505(b)(2) FDA pathway, these results will lead to other indications, either in autoimmunity or later in cancer.”
MB Bureau