40 new jobs as Acacia bids to raise $30m for US growth
Acacia Pharma Group, the quoted Cambridge life science company, is bidding to raise €25 million ($30m) through a share offering via an accelerated bookbuild as it ramps commercial operations in the US.
The UK biopharma business plans to use a large tranche of the capital to recruit an initial sales force of around 30 – plus an additional 10 support staff.
It will also help meet marketing costs relating to its BARHEMSYS® and BYFAVO™ product lines – including brand development and engagement with key opinion leaders, healthcare professionals and medical conference and speaker programmes.
Paediatric studies for BARHEMSYS® and BYFAVO™ and a renal study for BARHEMSYS® are also slated for spend along with satisfaction of interest and capital payments under existing loan agreements.
Acacia is focused on commercialising novel products to improve the care of patients undergoing serious medical treatments such as surgery, invasive procedures, or chemotherapy.
Acacia has separately reported encouraging interim results for the six months ended June 30, marking what CEO Mike Bolinder describes as a “truly transformative period for the company.”
Bolinder said: “We were delighted to gain FDA approval for our first product, BARHEMSYS®, in February. We identified and developed this product through an extensive and successful clinical trials program and it is testament to the founders and employees of the company for achieving this significant milestone.
“The in-licensing and subsequent US approval of BYFAVO™ added a second product to strengthen our portfolio targeting the anaesthesiology market. We are now focused on building the optimal commercial organisation to launch both products in the US, where we believe there is significant need for our new products.
“The coronavirus has created many challenges for the global healthcare system and supply chains. We believe it has also created opportunity for our products, and that we will see strong demand for both products given that they are designed in part to improve procedural throughput to help address the current surgical backlogs in hospitals and surgical centres that exist as a result of the pandemic.
“We also believe that in making these new products available we can satisfy the demand for products addressing PONV and procedural sedation owing to shortages of supply that currently exist for the current standard-of-care drugs for these indications.
“Our focus is now wholly on executing a successful launch of BARHEMSYS and BYFAVO in 2H 2020, which will further accelerate our transition from an R & D-led company into a commercial business bringing much needed treatments to patients in the US. We look forward to an exciting time ahead and to providing further updates on our progress.”
Acacia’s cash and equivalents were $24.6m at June 30 – up from $17m at the end of December and $22.7m at the end of June 2019.
The operating loss for the period remained flat at $12.8m as the group continued its transition from an R & D-led business towards the launch and commercialisation of BARHEMSYS and BYFAVO.