Drug developer Vernalis, maker of cough and cold treatments, is looking to raise £40m from a share issue to fund US expansion and bring more products to market.
The AIM-traded firm has issued 80m shares at 50p each.
Vernalis currently has four US cough and cold programmes under development and is also planning on rolling out and relaunching two existing products.
Ian Garland, chief executive of Vernalis, said:
We continue our transition to a sustainably profitable specialty pharmaceutical company. We have made significant investment in launching Tuzistra XR, our first extended release cough cold product, and we look forward to leveraging our focused primary care sales force with the forthcoming re-launch of Moxatag later this year.
Vernalis’s board said the placing is conditional on the passing of certain resolutions at a general meeting, set for 12 May.