Analysis

Polish Biotech Company Mabion Gets 51 Million US Dollar Investment Boost

Mabion, a leading biotechnology company in Poland, has raised 51 million US dollars via a private placement funding round. The successful placement generated gross proceeds of 175 million zloty, with shares being sold at a price of 91 zloty each. The European Bank of Reconstruction and Development (EBRD) – which provided the equivalent of 18 million US dollars – was a cornerstone investor along with PFR Life Science (part of the Polish Development Fund) and institutional investors specialised in healthcare and life sciences from the United States and Europe. The placement reinforces and diversifies Mabion’s shareholder base.

Guggenheim Securities acted as the sole placement agent for the shares to investors in the United States.

Mabion intends to use the net proceeds from the financing to cover the cost of the expansion of production capacity in Konstantynów Łódzki, and costs and expenses related to the development and commercialisation of Mabion CD20, which has the potential to treat multiple sclerosis.

“This transaction demonstrates the potential of Mabion’s pipeline, specifically in MabionCD20’s global potential,” said Artur Chabowski, president and CEO of Mabion. “The successful execution of this financing not only significantly strengthens our shareholder base, but also provides us with the capital to continue to progress commercial efforts for our leading candidate, MabionCD20, and to develop and expand our clinical portfolio. We look forward to continuing to execute on our strategic objectives and milestones.”

Mabion is a leading Polish biotechnology company, created for the purpose of marketing cutting-edge biotechnological drugs based on humanised monoclonal antibodies. This technology, developed independently in Mabion, meets highest international standards. The process of humanising monoclonal antibodies, which is the pinnacle of modern biotechnology, allows for creation of targeted drugs which act selectively on tumour cells, thus ensuring greater effectiveness and lower toxicity of the therapy.

Mabion is one of the few biopharmaceutical companies with the capacity for comprehensive development and implementation of all kinds of biotechnology drugs – starting with the design stage, through the selection of the platform and manufacturing technology, and ending with the manufacture and obtaining marketing authorisation of the finished drug. Currently, the company conducts research and development works on several biotech drugs used in the treatment of cancers and inflammatory diseases