June 24, 2008
Tikcro to Provide $2.5 Million Funding to BioCancell
Tikcro Technologies has signed an agreement to provide BioCancell Therapeutics with $2.5 million in funding to continue development and clinical trials of its drugs for the treatment of bladder, ovarian and pancreatic cancers.
Under the agreement, Tikcro will provide BioCancell with $2.5 million in funding at the closing. Of this amount, $2 million will be allocated to a four-year convertible note bearing interest at 10% per year and $0.5 million will be in the form of BioCancell common stock.In addition, Tikcro will receive a five-year warrant, for an aggregate exercise price of approximately $2.5 million. Total funding in this round, together with other existing investors, will amount to approximately $3.7 million.
Aviv Boim, CEO of Tikcro, said: "We are impressed by the progress that BioCancell has made in moving its product into clinical trials. We believe that BioCancell's novel mechanism, target gene technology, holds great promise in managing certain difficult-to-treat cancers."