Aim-listed Destiny Pharma's shares surge on fresh investment

 
Courtney Goldsmith
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Shares in biotech Destiny Pharma rose more than 20 per cent this morning after the company announced a £3m investment aimed at accelerating its anti-microbial pipeline.

Destiny, the Brighton-based pharma company seeking to tackle superbugs, floated on the London Stock Exchange's junior market in September.

Its shares rose 22.17 per cent to 140.5p in morning trading after it revealed a subsidiary of China Medical System Holdings (CMS) had injected £3m into the company at 157p per share.

"Following the successful flotation, in which Destiny raised £15.3m, and this additional equity investment of £3m by CMS, Destiny is well funded through to 2020," said chief executive Neil Clark.

The funds will be used to develop the firm's key drug, XF-73, which is designed to prevent post-surgical infections including MRSA.

In a separate announcement today, Destiny said it had given CMS the full rights to develop and commercialise its pipeline of drugs in China and certain other Asian countries, excluding Japan.

Dr Huaizheng Peng, general manager of international operations at CMS, said:

I am excited by this opportunity to work with the Destiny Pharma team to drive forward the development of the company's portfolio.

I believe Destiny Pharma's XF-drug platform offers great potential as a novel approach to tackling the rising global issue of anti-microbial resistance, where there is a recognised unmet need for new effective treatment options.

Read more: Pharma company seeking to tackle anti-microbial resistance floats in London

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