The trial started on 50 patients at a hospital in Southampton this week and as well as providing cash for that, the money will also pay for the manufacture of the drug, SNG001.
SNG001 is an inhaled formulation of interferon-beta-1a and is currently being developed to treat people with chronic obstructive pulmonary disease (COPD) that also have respiratory viral infections.
Synairgen’s share price has risen to 44.5p from 10.75p at the start of February as the possibility of SNG001 as a treatment for people with serious lung complications was appreciated by investors.
The funding will take place via firm and conditional placings to be carried out today through a bookbuild by broker Finncap.
Talking to Proactive recently, Richard Marsden, Synairgen’s chief executive, said that interferon beta – a cytokine – is the first thing the body throws at a virus when it recognises one and it is effective against lots of different viral types.
Synairgen’s treatment is a formulation of interferon beta delivered by a nebuliser designed to protect the lungs of patients with COPD from exacerbations such as coronavirus.
It is especially important with people with pre-existing conditions, says Marsden, as by that stage the lungs are compromised too much to cope with any additional complications.