Umeå-based Lipigon Pharmaceuticals has attracted SEK 16.6 Million in a new share issue that will help it get nearer to its goal of reducing the number of global deaths caused by cardiovascular disease.
“We are extremely proud our new shares issue was oversubscribed, particularly during the ongoing Coronavirus pandemic when many investors are feeling more cautious. It is an indication of the level of belief in us,” says Stefan K Nilsson, CEO of Lipigon.
Local capital investment companies Fort Knox AB and PartnerInvest i Norr, who are already major stake owners in Lipigon, have both increased their investment through the new share issue.
"In addition we have around 25 new investors, many of whom have great reputations within the life science industry, who are investing themselves or through their own companies", says Stefan K Nilsson.
Lipigon, which is located at the Umeå Biotech Incubator, specialises in developing medicines for lipid-related disorders, i.e. diseases caused by irregularities when fats are processed in the body. The company recently signed a major partnership deal with rapidly expanding HitGen, a biotech company listed on the Shanghai Stock Exchange, to develop drug candidates that treat blood fat disorders and cardiovascular disease.
“The new share issue was made to help drive the development of our various development programs and, among other things, to be able to begin safety studies for upcoming clinical trials. Another important factor is that our agreement with HitGen requires increased resources in the longer term”, says Stefan K Nilsson, adding:
“The next step for Lipigon is to float on the stock market and there are costs associated with preparing for this”.
Lipigon has several important development milestones to achieve in the second half of 2020. Stefan K Nilsson is confident that when this happens the company will be ideally positioned to raise further capital investment.
Cardiovascular disease is the most common cause of death around the world. Diseases that are partly caused by blood fat disorders and that can lead to complications such as heart attacks and strokes account for 31% of all global deaths each year.
“Our goal is to create safe and effective treatments that help reduce the total number of deaths and also reduce the suffering of patients around the world. It is a sign of our progress that so many people believe in us, especially during these difficult times with the pandemic. We will do our utmost to live up to their expectations”, says Stefan K Nilsson.
For further information please contact:
Stefan K Nilsson, CEO Lipigon
+46 70-578 17 68
Lipigon develops new treatments for patients with lipid-related diseases. The company benefits from 50 years of lipid research conducted at Umeå University in northern Sweden. Our primary focus is orphan drugs and niche indications. Lipigon's pipeline contains a total of three active programs; an RNA-based therapeutic program called ‘Lipisense’, a gene therapy program together with Combigene AB (plc) and a small molecule program in collaboration with HitGen.
Umeå Biotech Incubator (UBI) is one of Sweden’s state-of-the-art business incubators within the life sciences. We help researchers to use their data to the benefit of patients and citizens, improving their health. We support and train entrepreneurs in the fields of pharmaceuticals, diagnostics and medical engineering, and act as a bridge between academia, medicine and the business community.