Listed drug discovery and development company Redx Pharma has secured short-term debt-funding of £5m.
The Macclesfield-based firm is currently focussed on treatment for cancer and fibrosis.
The short term loan agreement comes from Redmile, which holds 48.2% of the firm’s ordinary shares.
The proceeds will serve to further extend Redx Pharma’s cash runway into the third quarter of 2020 and will be used to augment general working capital.
The firm’s board said it considered that the terms of the Loan are fair and reasonable insofar as the Company’s shareholders are concerned, having consulted with Cantor Fitzgerald Europe, the Company’s nominated adviser.
Earlier this month the firm posted a full-year loss as it continued to develop its oncology and fibrosis treatment candidates.